HDFC Securities: Cement Sector  - Spotting The Sweet Spot 

HDFC Securities: Cement Sector  - Spotting The Sweet Spot

A pile of cement lies on builders slab. (Photographer: Chris Ratcliffe/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

HDFC Securities Report

We believe the north and central cement markets in India are in a sweet spot.

Despite muted demand, cement prices in these regions have been buoyant, driven by troika of considerable regional consolidation, high clinker utilisation, and a limited influx of new entrants.

Companies in these regions are also enjoying low input cost inflation (high Portland Pozzolana Cement (PPC) sales and higher usage of low cost waste heat recovery system power).

We believe these benefits will continue to sweeten profitability, validating our preference for companies in these regions.

Click on the attachment to read the full report:

HDFC Securities Cement Sector Update.pdf
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This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.

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