Building Materials Q3 Earnings Preview: Most Categories May Recover Beyond Pre-Covid-19 Levels, Says ICICI Securities
Workers lay pipes and pour concrete in a construction site in Delhi, India. (Photographer: Ruhani Kaur/Bloomberg)

Building Materials Q3 Earnings Preview: Most Categories May Recover Beyond Pre-Covid-19 Levels, Says ICICI Securities

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 Securities Report

Volume recovery for major branded building material categories may sustain (in fact accelerate QoQ) into Q3 FY21 driven by -

1. impressive growth traction in secondary real estate market,

2. pent-up demand seen in renovation / refurbishment segment and

3. market share gains (in categories like plumbing pipes and tiles in particular).

We, thus, foresee categories like plumbing pipes, medium-density fibre, adhesives and construction chemicals, tiles and plywood to recover beyond pre-Covid-19 levels in Q3 FY21, while laminate and sanitaryware categories may recover fully with a quarter lag.

Click on the attachment to read the full report:

ICICI Securities Building Material Q3FY21 Preview.pdf

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