Ambuja Cements was trading nearly 5% higher after the company reported results for the July to September period on Monday.

What Happened: The Adani Group firm posted a net profit of ₹455.96 crore, representing a fall of 42% compared to ₹792.96 crore reported in the same period a year ago. Sequentially, net profit decreased 29% from ₹640 crore.

Revenue from operations improved 1.24% year-on-year to ₹7,516.11 crore compared to ₹7.423.95 crore. In the previous quarter, the company had reported a revenue of ₹8,311.48 crore.

The company's cement business clocked in a revenue of ₹7,248.92 crore whereas revenue from ready to mix concrete business stood at ₹295.24 crore. The company recorded an operating EBITDA of ₹1,111 crore and an EBITDA margin of 14.8%.

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The company is eyeing several acquisitions in a bid to strengthen its foothold in the cement sector. Last week, Ambuja Cements said it will acquire a 37.9% stake in Orient Cement from promoters and buy 8.9% from public shareholders. The company has proposed to buy 9.58 crore shares in the company at an average price of ₹395.4. Following this acquisition, Ambuja intends to initiate an open offer to acquire an additional 26% stake in the company at the same price. The total deal is valued at ₹8,100 crore. The deal is subject to approval of the Competition Commission of India and will be completed within three to four months.

Earlier this month, reports also suggested that the Adani Group is also negotiating the purchase of Heidelberg's cement unit in India. The unit after buyout would be held by Ambuja Cements and worth around ₹10,000 crore ($1.2 billion), the report added.

Price Action: Shares of Ambuja Cements jumped 4.55% to ₹577.85  on Monday afternoon.

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