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.
Prabhudas Lilladher Report
Ebitda of our cement coverage universe is expected to fall by 17% YoY. The key driver for fall is sharp contraction in margins. Volumes would fall by 3.4% YoY on back of subdued demand in East, Central and South regions.
Realisations are expected to increase by 7% YoY/Rs 355/tonne. Impacted by steep increase in coal, packaging and freight cost, overall cost is expected to increase by 14% YoY/Rs 535/tonne. This would result in contraction of Ebitda/tonne of our cement coverage universe by 15% YoY/Rs 175 at Rs 1,000.
We believe that outlook on sector's earnings growth with an estimated compound annual growth rate of 8% (largely driven by volume growth) in FY22-FY24E looks unattractive due to high margin base and continued cost headwinds.
Click on the attachment to read the full report:
DISCLAIMER
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.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
