Cement Sector Update - Demand Improves; Prices To Follow: 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.Our channel checks suggest likely sharp ~35% month-on-month demand rise (on low base) in December 2021 which may imply low-single-digit YoY growth versus mid-single-digit YoY decline in October-November 2021. Receding festive holidays / wedding season / monsoon, better availability of sand / labour, lower month-on-month prices of construction materials like steel, cement and sand, pick-up in infrastructure projects, improved release of funds and pent-up demand likely led to a sharp month-on-month uptick in volumes. However, average pan-India prices fell sharply by 5% month-on-month (still up 5% YoY) owing to volume push. Demand recovery in Dec-21 may alleviate recent investor concerns around any slowdown. We believe consensus earnings downgrade, if any, seems priced in and risk-reward is favourable..Click on the attachment to read the full report:.DISCLAIMERThis 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.

Cement Sector Update - Demand Improves; Prices To Follow: ICICI Securities

Cement Sector Update - Demand Improves; Prices To Follow: ICICI Securities

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