Ambuja Cements (LUX:AMCEM) Operating Income: $267 Mil (TTM As of Jun. 2026)

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LUX:AMCEM Ambuja Cements Ltd LUX:AMCEM
94 GF Score
Price $4.20
GF Value $6.83
Valuation Significantly Undervalued
! 5 Warning Signs
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What is Ambuja Cements Operating Income?

Ambuja Cements LUX:AMCEM 94 Operating Income is $267 Mil as of Jun. 2026. GuruFocus rates LUX:AMCEM with a GF Score™ of 94/100 and a GF Value™ of $6.83 (Significantly Undervalued). The stock has 5 warning signs investors should review.

Ambuja Cements's Operating Income for the three months ended in Jun. 2026 was $80 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2026 was $267 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Ambuja Cements's Operating Income for the three months ended in Jun. 2026 was $80 Mil. Ambuja Cements's Revenue for the three months ended in Jun. 2026 was $998 Mil. Therefore, Ambuja Cements's Operating Margin % for the quarter that ended in Jun. 2026 was 7.97%.

Warning Sign:

Ambuja Cements Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -10.6%.

Ambuja Cements's 5-Year average Growth Rate for Operating Margin % was -10.60% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Ambuja Cements's annualized ROC % for the quarter that ended in Jun. 2026 was 2.91%. Ambuja Cements's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 6.58%.


Ambuja Cements  (LUX:AMCEM) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Ambuja Cements's annualized ROC % for the quarter that ended in Jun. 2026 is calculated as:

ROC % (Q: Jun. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2026 ) + Invested Capital (Q: Jun. 2026 ))/ count )
=318.028 * ( 1 - 22.17% )/( (8505.328 + 0)/ 1 )
=247.5211924/8505.328
=2.91 %

where

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=9653.99 - 1081.898 - ( 99.544 - max(0, 1410.956 - 1477.72+99.544))
=8505.328

Note: The Operating Income data used here is four times the quarterly (Jun. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Ambuja Cements's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2026  Q: Jun. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=381.212/( ( (5790.99 + max(-186.792, 0)) + (0 + max(0, 0)) )/ 1 )
=381.212/( ( 5790.99 + 0 )/ 1 )
=381.212/5790.99
=6.58 %

where Working Capital is:

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(201.304 + 490.457 + 510.908) - (1081.898 + 0 + 307.563)
=-186.792

Working Capital(Q: Jun. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0) - (0 + 0 + 0)
=0

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Jun. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Ambuja Cements's Operating Margin % for the quarter that ended in Jun. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2026 )/Revenue (Q: Jun. 2026 )
=79.507/997.683
=7.97 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Ambuja Cements Operating Income Related Terms


Ambuja Cements Operating Income Historical Data

* Premium members only.

The historical data trend for Ambuja Cements's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Ambuja Cements Operating Income Chart

Ambuja Cements Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Mar24 Mar25 Mar26
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 523.70 672.16 575.83 425.36 333.33

Ambuja Cements Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 139.07 99.15 43.77 44.19 79.51
LUX:AMCEM
94GF Score
Ambuja Cements Ltd LUX:AMCEM
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Ambuja Cements Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $267 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of $267 Mil mean?
Ambuja Cements (LUX:AMCEM) has a Operating Income of $267 Mil as of Jun. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Ambuja Cements and its competitors.
Is Ambuja Cements' Operating Income too high?
Ambuja Cements' current Operating Income is $267 Mil. Overall, Ambuja Cements has a GF Score™ of 94/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ambuja Cements' Operating Income compare to CRH and VMC?
Ambuja Cements' Operating Income of $267 Mil can be compared against companies in the Building Materials industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Building Materials company?
A good Operating Income depends on the Building Materials industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Ambuja Cements and its competitors. Ambuja Cements's current Operating Income is $267 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ambuja Cements stock overvalued right now?
Based on GuruFocus' analysis, Ambuja Cements (LUX:AMCEM) is currently considered Significantly Undervalued. The stock's GF Value™ is $6.83, compared to a current price of $4.20 — trading 38.5% below its estimated fair value. The current Operating Income is $267 Mil. Ambuja Cements' overall GF Score™ is 94/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Ambuja Cements (LUX:AMCEM), the current Operating Income is $267 Mil as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Ambuja Cements (LUX:AMCEM) Overvalued in 2026?

Based on GuruFocus' analysis, Ambuja Cements stock appears to be undervalued. The current stock price of $4.20 is trading 38.5% below its estimated GF Value™ of $6.83. GuruFocus considers Ambuja Cements to be Significantly Undervalued.

Key valuation signals for LUX:AMCEM:

  • Operating Income: $267 Mil
  • GF Value™: $6.83 vs. price of $4.20 (38.5% below fair value)
  • GF Score™: 94/100 with 5 warning signs

No single metric tells the full story. See the LUX:AMCEM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ambuja Cements Business Description

Other Exchanges AMBUJACEM:India500425:India
Address Shantigram, S.G. Highway, Adani Corporate House, Near Vaishno Devi Circle, Khodiyar, Ahemdabad, GJ, IND, 382421
Ambuja Cements Ltd is engaged in the manufacture and sale of cement, intermediary products, and cement-related products. The Company operates multiple cement manufacturing plants located at various locations and markets cement and cement-related products. Its product portfolio includes Ambuja Kawach, Ambuja Plus, Ambuja Compocem, Ambuja Cement, Ambuja Cool Walls, Purasand for Concrete & Plaster, and others. The Company generates revenue from within India.
94GF Score

Get the complete analysis for LUX:AMCEM

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$4.20
Price
$6.83
GF Value