Construction workers discuss plans on a dusty site.
Ambuja Cements is adjusting its capital expenditure plans for the fiscal year 2027, signaling a more cautious approach amidst challenges related to contractor performance and project execution. Karan Adani, a key figure in the company’s leadership, has highlighted these contractor woes and subsequent project delays as significant impediments to growth.
In response to these operational hurdles, the company is now prioritizing the completion of its ongoing expansion projects. This strategic shift aims to streamline operations and enhance margins before embarking on new large-scale investments. Consequently, the capital expenditure for FY27 has been revised and set within a range of Rs 6,000 crore to Rs 6,500 crore.
Despite the recalibration of its capex plans, Ambuja Cements maintains its ambition to achieve a significant production capacity of 119 million tonnes by FY27. The company’s focus remains on optimizing its existing operations and improving profitability through efficiency gains and margin expansion initiatives.
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