ACC Ltd reported a sharp decline in Q2 FY27 standalone profit to Rs 101 crore, down from Rs 1,112 crore year-on-year, amid lower revenue and exceptional severance costs. The company is advancing its merger with Ambuja Cements, with an NCLT hearing scheduled for November 19, 2026. On the legal front, a favorable Karnataka High Court order secures a Rs 125 crore refund, while the CCI penalty case remains pending before the Supreme Court.
ACC Ltd Q2 FY27 Results: Profit Declines Amid Strategic Merger Progress
ACC Ltd reported standalone revenue of Rs 5,612 crore and a standalone PAT of Rs 101 crore for Q2 FY27.
Reader Takeaway: Operating profits faced significant pressure, yet the pending merger with Ambuja Cements remains the primary long-term trigger.
What just happened
ACC Ltd has released its financial results for the quarter and half-year ended September 30, 2026. The company saw a steep decline in profitability, with quarterly PAT dropping to Rs 101 crore from Rs 1,112 crore in the corresponding period of the previous fiscal. Revenue from operations also slipped to Rs 5,612 crore, compared to Rs 5,890 crore in Q2 FY26. The performance was affected by an exceptional expense of Rs 71 crore related to Voluntary Severance Scheme payments for both permanent and third-party employees.
Why this matters
The sharp drop in profits highlights the operational headwinds currently impacting the cement manufacturer. However, the company is moving ahead with its strategic consolidation. Having received shareholder approval on September 29, 2026, the company is now awaiting an NCLT hearing on November 19, 2026, to finalize its amalgamation with Ambuja Cements Limited. This merger is a critical development for the future structure of the business.
The backstory
ACC Ltd has been navigating various legal challenges. A major positive update arrived on September 8, 2026, when the Karnataka High Court ruled in favor of the company regarding a mining lease dispute. The court set aside a royalty demand and ordered a refund of Rs 125 crore, which the company had previously deposited. Conversely, the company is still contesting a massive Rs 1,148 crore penalty imposed by the CCI in 2016, which is currently in the final argument stage at the Supreme Court.
Financial Health and Loans
As of September 30, 2026, the company maintains Inter-Corporate Deposits (ICDs) worth Rs 4,403 crore with its ultimate holding company, Ambuja Cements. These deposits are set to earn 8% per annum and are scheduled for repayment by the end of the current fiscal year, March 31, 2027.
What to track next
Investors should closely monitor the upcoming NCLT hearing on November 19 regarding the merger. Furthermore, the Supreme Court hearing on the CCI litigation scheduled for October 28, 2026, will be a key event for the stock’s sentiment, as no provision has been made for the disputed penalty.