Standalone profit for the three months ended Sept.30 was 1.38 billion Indian rupees($16.68 million), compared with a profit of 4.41 billion rupees a year ago. Revenue rose to 13.38% to 36.70 billion rupees.

Analysts, on average, had expected the company to report a profit of 4.70 billion rupees, according to IBES data from Refinitiv.

Overall expenses surged 32.25% to 35.46 billion rupees, while sales volumes expanded 12% to 6.74 million tonnes. Power and fuel expenses jumped 83.38% to 14.15 bln rupees

"Cement industry has been facing significant margin pressure resulting from steep rise in global energy prices, Ajay Kapur, chief executive officer, said in a statement.

Rising global crude prices pose a major challenge to India, which imports more than 85% of its requirement.

Last week, rival Shree Cement Ltd posted a 67.2% slump in second quarter profit hit by a jump in fuel costs

"However, recent cooling off in energy prices and post monsoon demand pick up appears like silver lining for coming quarters," Ambuja's Kapur said.

Adani Group had in September completed acquisition of Swiss giant Holcim AG's Indian cement businesses Ambuja and ACC in a $10.5 billion to become the country's No.2 cement manufacturer. The group aims to double the production capacity at both the units by 2027.

"Considering the promise, we made to double our manufacturing capacity over the next five years, our growth plans are ambitious and this will be evident in 2023," Kapur said, without giving any details.

($1 = 82.7225 Indian rupees)

(Reporting by Navamya Ganesh Acharya in Bengaluru; Editing by Dhanya Ann Thoppil)