Despite a strong surge in sales volume, ACC has reported a soft performance in 4QCY17, missing our estimate albeit marginally. EBITDA adjusted for reversal of Rs342mn for DMF provision stood at Rs3.3bn vs. our estimate of Rs3.5bn. While cost optimisation measures aided ACC to contain overall operating cost/tonne, higher freight cost (led by change in commercial terms from ex-factory to FOR and higher share of road transportation), higher raw material cost (due to spike in additives prices) and other expenditures impacted operating performance. Sales volume grew strongly by 27% YoY to 6.92mnT mainly due to strong demand environment in Eastern markets and stabilisation of newly commissioned units in Jamul and Sindri. Cement...