Ambuja Cement - New Capacity To Revive Growth In CY21E: ICICI Direct
BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
ICICI Direct Report
Ambuja Cements Ltd. results were better than our estimates on all parameters backed by healthy sales volumes and firm realisations.
Sales volume grew 7.2% YoY to 7.01 metric tonne (versus our estimate: 6.8 metric tonne), realisations were also up 4.6% YoY to Rs 5014/tonne (flat QoQ) versus our estimate of Rs 4,915/tonne leading to revenue growth of 12.1% YoY.
Firm realisations, lower cost of production (down 1% YoY to Rs 3919/tonne) contributed 439 basis points YoY margin expansion.
Renegotiation of contracts, improvement in logistic efficiencies aided by master supply agreement and fixed cost optimisation led to reduction in costs.
Click on the attachment to read the full report:
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 author entity and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.