Ambuja Cements (ACL) has delivered a dismal operating performance during the quarter, with its reported EBITDA growing by 10% YoY to Rs3.2bn vs. our estimate of Rs3.9bn. While all components of operational cost came broadly in-line with our estimates, a significant surge in raw material cost (+107% YoY and +18% QoQ) dragged its operating performance, owing to reversal of Rs446mn relating to contribution towards DMF following Supreme Court's order. Adjusting for this, ACL's EBITDA grew by 25% YoY to Rs3.6bn. EBITDA/tonne came in at Rs628 vs. Rs629 and Rs1,010 in 3QCY16 and 2QCY17, respectively. Notably, sales volume grew by 10% YoY (-17% QoQ) to 5.04mnT mainly aided by favorable demand in Northern and Eastern markets...