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 OVERVIEW
Established in 1983,Our six integrated and sustainable building solutions, We are an industry leader in sustainability
manufacturing units, eight strategically operating with 70,000+ people across 70+ practices including responsible use of
located grinding units and a network of countries in the world. The Global materials, continuous reduction in
Depositary Receipts (GRDs) issued by emissions and a greater focus on circular
more than 50,000 channel partners help
Ambuja Cement are listed on the economy. Our robust policies help us
us cater to the northern, western, central uphold the highest standards of
Luxembourg Stock Exchange. Our superior
and eastern markets of the country and corporate governance. Our Corporate
quality products are targeted at providing
continue our growth momentum. Our Social Responsibility (CSR) arm, the
hassle-free home building experiences for
majority shareholder is Switzerland-based our customers which, in turn, helps build
Ambuja Cement Foundation, works
Holcim, a global leader in innovation tirelessly in developing the communities
durable relationships.
around our plants.

A QUICK GLANCE
NAROTAM SEKHSARIA
Chairman And Principal
Integrated Cumulative manufacturing
Grinding units Founder
Manufacturing Units capacity (MTPA)

Share of blended
Bulk cement terminals Employees cement

As on December 31, 2021 | [Annual report 2021]

 Vision
To be the most sustainable and competitive company in our industry

MISSION

DELIGHTED INSPIRED HEALTHY

CUSTOMERS EMPLOYEES ENVIRONMENT

LOYAL ENLIGHTENED ENERGISED

SHAREHOLDERS PARTNERS SOCIETY
 INDUSTRY ANALYSIS Industrial & Commercial

CEMENT INDUSTRY strong Gross Domestic Product (GDP) CEMENT 11%

India is the second largest growth of ~7.0% per annum in medium CONSUMPTION MIX Rural Housing
29%
cement producer in the world, to long term The housing sector
accounting for ~8% of global
Low annual per capita consumption of remains the key
cement production with an
~242 kg against a global average of 525 contributor to
estimated production capacity of Infrastructure
kg cement 23%
550 MTPA.
USA Rising urbanisation is expected to consumption
TURKEY
2
2 reach 40% by 2030 – additional 113 growth.
INDIA
8 CHINA million people in cities by 2030 The infrastructure
28 2000
sector consumes
Metro & Tier I
23% of the 8%
industry’s
production Low cost housing
1500 11% Tier II & Tier III

India Cement Market

18%

India cement market size was estimated at

World Average: 525 kg USD 26.85 billion in 2022.
1000
The size of India cement market is projected
OTHERS
57 to grow at a CAGR of 9.05% reaching a value
Per Capita Cement of USD 49.24 billion by 2029.

Consumption (KG)
500

Cement demand grew by an

estimated 13.0% y-o-y in the
calendar year 2021 0
AM

IA

SA
A
A

IA
IL
YP
RE
IN

AZ
SS

D
U
TN
CH

IN
G
KO

BR
RU
ED
IE
 Ambuja Cement: A Competitive Edge in Sustainability

Value Proposition:

BUSINESS MODEL
High-performance cements: Ambuja offers a range of cements for
diverse construction needs (e.g., roofs, slabs, RMX).
Sustainability champion

Target Customers:
Construction companies: Bulk cement purchases for large-scale
projects .
Individual homeowners: Catered to through distributor network for
Sustainability
Results renovations and new builds.
Empowerment
Agility and Ready-mix concrete producers: Specialized cements for efficient
simplicity
I CAN accountability and
concrete production .
transparency
Culture

Integrity Channels:
People
Extensive network: 55,000 distributors and retailers for nationwide
Potential direct sales: For bulk orders to large construction companies.
Demonetisation
impact Competitive Advantage:
Ensuring raw Brand recognition
material security Raw material Product diversification
Mining Widespread distribution
extraction
Drying and
Operations
Cement grinding grinding
and storage Key Activities:
Clinkeriasation Administrative
Reinitiating Product innovation
burden
demand Efficient distribution

Cost Structure:
Taxation Raw materials: Limestone, clay, and other production inputs .
Manufacturing: Energy, labor, and plant maintenance costs.
Distribution: Transportation and storage expenses within the network
 PEER POSITIONING
MARKET SHARE MARKET SALES MARKET PROFIT
JK Lakshmi Cem
Dalmia Bharat
Shree Shree 3.4%
J. K. Cement 1.6%
13.1% 9.5% 4.6%

ACC
Ultra Tech 7.1%
34.6%
Ultra Tech UltraTechCement
40.5% 40.2%
Others
17.1%
Others
Others 9.3%
23.6%

Dalmia
5.1%
Shree Cements
10.8%
ACC
6.8%
J K Cement Ambuja
Ambuja
5.1% Ambuja Cements
17.4% ACC 11.3%
20.9%
12.5%

UltraTech Cement Ltd is the largest ACC Cements controls around six percent Dalmia Bharat Ltd is the fifth largest
cement manufacturer in India. The stake in India’s cement market. The firm cement manufacturer by revenue.
company produces grey cement, has 17 cement factories, 75 ready-mix The company is renowned for producing
white cement and Ready Mix concrete plants and a 50,000-plus dealer super-specialty cement used in airstrips,
network railway sleepers, and oil wells
Concrete (RMC)
Shree Cements Ltd was incorporated in Ambuja cement holds 50.56% stake in
Ambuja Cement is a part of the
1979 and clocked 29.30 million tonnes of ACC with makes them together the
LafargeHolcim conglomerate and
cement production in 2022 second largest company in the Indian
holds 21 percent market share
cement industry
 60
120

100

40
80

20

0
U
ltr
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ec
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AC
C

AC
E M
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Ce
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Bh
ar
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JK
Ce
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JK
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N i
uv
ok
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Vi
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Ra a s
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In t
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Ce
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Installed cement capacity of listed companies

U
ltr
aT
ec
60,000.00
100,000.00

40,000.00
80,000.00

0.00
20,000.00

hC
Am em
bu en
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Ce
Sh m
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Ra o
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co as
Ce
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D en
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Bh
In ar
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J. ts
K.
Total Assets With The Listed Companies

Ce
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JK
La AC
ks C
hm
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 FINANCIALS
Revenue Profit Breakdown
30000
Balance Sheet
14000 6000

12000 25000
5000

10000
4000 20000
8000
3000
15000
6000

2000
4000 10000

1000
2000
5000
0 0
2018 2019 2020 2021 2018 2019 2020 2021

OPERATING PROFIT NET PROFIT 0

2019 2020 2021
ASSETS LIABILITY

Operating Cashflow Investing Cashflow Financing Cashflow

3000
0 0

2500
-200
-1000
2000

-400
1500
-2000

-600
1000

-3000
-800
500

0 -1000 -4000
2019 2020 2021 2019 2020 2021 2019 2020 2021
 Margins Total Asset Turnover Debt/Equity
60

70 100
50
60
80
40
50

60
30 40

30
40
20

20

10 20
10

0 0 0
2018 2019 2020 2021 2022 2023E 2018 2019 2020 2021 2022 2023E 2018 2019 2020 2021 2022 2023E

EPS EV/EBITDA ROCE

14 14
30

12 12
25
10 10
20
8 8

15
6 6

4 10 4

2 5 2

0 0
2018 2019 2020 2021 2022 2023E 0 2018 2019 2020 2021 2022 2023E
2018 2019 2020 2021 2022 2023E
 FINANCIALS CONSOLIDATED
Revenue Profit Breakdown
50000
Balance Sheet
30000 12000

25000 10000
40000

20000 8000

30000
15000 6000

10000 4000
20000

5000 2000
10000

0 0
2018 2019 2020 2021 2018 2019 2020 2021

OPERATING PROFIT NET PROFIT 0

2019 2020 2021
ASSETS LIABILITY

Operating Cashflow Investing Cashflow Financing Cashflow

6000
0 0

5000
-500
-1000
4000

-1000
3000
-2000

-1500
2000

-3000
-2000
1000

0 -2500 -4000
2019 2020 2021 2019 2020 2021 2019 2020 2021
 SWOT ANALYSIS
STRENGTHS WEAKNESSES
Strong market position Susceptibility to volatility in input

S W
Healthy operating efficiencies cost and realisations, and cyclicality
Strong financial risk profile in the cement industry
Heavily dependent on Indian
Debt Free
market
Credit Rating CRISIL
Lack of product diversification
AAA/Stable/CRISIL A1+

OPPORTUNITIES THREATS
High growth in Cement Industry Rising Inflation

O T
Investment on infrastructure to Rising Fuel Prices
grow Litigation for cartelization in the
Benefits due to GST industry
Mr. Narendra Modi, launched the Intense Competition
‘PM Gati Shakti - National Master
Plan (NMP)’ for multimodal
connectivity
 SYNERGY BENEFITS
Logistics: Adani Group has a strong presence in ports, The adani group has
earmarked $84 billion
railways, and road construction. This could significantly
for infrastructure
reduce transportation costs for Ambuja and ACC's cement investments over the
products next decade.
Merger potential: Analysts believe a future merger of Ambuja
and ACC could lead to savings on administrative costs and
potentially unlock better pricing with suppliers due to
increased buying power
Operational efficiencies: Sharing of best practices and
operational expertise between Adani Group and Ambuja/ACC
could lead to overall cost reductions
Backward integration: Adani Group's existing businesses are
major consumers of cement. This acquisition would allow
them to better control their supply chain and potentially
reduce costs
Strong brand legacy: Ambuja and ACC are well-established
brands in the Indian cement market. Adani Group can leverage
this brand recognition to expand its market reach
 Service About Us Contact

Thank You
Made by - Sarthak Malhotra
Email - [email protected]

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