India Cements (ICEM)'s 2QFY22 result was in line with our estimates, although earnings were under pressure due to higher costs. The lower base of last year aided volume growth of 12% YoY; this was offset by a 13% YoY increase in opex/t, leading to a 49.2% YoY drop in blended EBITDA/t. We maintain our FY23E/FY24E estimates and Neutral rating on the stock as valuations at 12x/9.3x FY23/FY24E EV/EBITDA appear expensive. Higher volatility in earnings due to the demand-supply mismatch in the South region and higher leverage (net debt/EBITDA at 4.5x/3.6x FY22/FY23E) in the...

Number of FII/FPI investors increased from 169 to 177 in Jun 2025 qtr.

India Cements Ltd.

24 May 2021

394.00

0.10%

Deleveraging to continue in absence of capex

Neutral: India Cements Ltd.

Target

Motilal Oswal

India Cements (ICEM)'s 4QFY21 EBITDA came in 4% below estimate due to higher costs. This was partly attributable to higher selling in the faraway markets of East and Central, which offset weaker demand in South the company's core market. Capacity utilization stood at just 57% in FY21. Net debt declined 15% YoY to INR30.0b in FY21 as the company repaid INR5.3b worth of debt on strong OCF and negligible capex. We raise our FY22E/FY23E EPS by 5%/17%, factoring in lower interest costs from deleveraging as the company continues to delay its capex plans. It...

India Cements Ltd. is trading above all available SMAs

India Cements Ltd.

27 Jan 2021

394.00

0.10%

South India demand remains weak

Neutral: India Cements Ltd.

Target

Motilal Oswal

India Cements (ICEM)'s 3QFY21 EBITDA was 10% below estimate, weighed by a weaker sales mix. This is attributable to higher selling in non-trade and faraway markets in the East and Central regions of India to offset weak demand in its core market in South. We reduce our FY21/FY22E EPS by 14%/7% as the company has guided for the continuation of this strategy to support utilization which would lower average realization and increase freight cost. Maintain Neutral....

India Cements Ltd. has an average target of 280.00 from 1 broker.

India Cements Ltd.

08 Nov 2020

394.00

0.10%

Beneficiary of South production discipline

Neutral: India Cements Ltd.

Motilal Oswal

India Cements (ICEM)'s 2QFY21 results highlight the benefit of high cement prices in South India, which led to the highest EBITDA/t since FY14 at INR1,114/t (+102% YoY). Volumes, however, declined 21% YoY due to weak cement demand in South India and market share loss. We raise our FY21/FY22E EPS by 28%/2%, factoring in a strong realization outlook on the back of a strong production discipline in South. However, we retain our Neutral rating on expected market share loss and a valuation of 9.4x FY22E EV/EBITDA, pricing in strong margins....

India Cements Ltd. is trading above all available SMAs

India Cements Ltd.

24 Jun 2020

394.00

0.10%

Worst quarter in close to a decade

Neutral: India Cements Ltd.

Target

Motilal Oswal

24 June 2020 India Cement (ICEM)s 4QFY20 results highlight the continued loss in market share, with volumes down 20% YoY v/s market decline of ~10% YoY. We note that ICEM has reported the lowest EBITDA in close to a decade. We lower our FY21/FY22 estimates to factor weaker volume trends. Following sharp appreciation in the past six months, we find the stock fairly valued at 9.3x FY22 EV/EBITDA and USD60/t of capacity, and rating. due to the impact of COVID-19 and market share loss. Blended realization declined 3% QoQ (7% YoY) to INR4,352/t. Thus, net sales fell 26% YoY to was primarily due to lower realization and higher freight costs. As a result, EBITDA was down 65% (48% QoQ) to INR675m (65% lower than estimated). The EBITDA margin shrank 6.4pp YoY and 4.9pp QoQ to 5.9%. Notably, the company reported the lowest ever EBITDA in close to a The company reported an exceptional expense of INR1.

India Cements Ltd. has gained 37.79% in the last 6 Months

India Cements Ltd.

08 Feb 2020

394.00

0.10%

India Cements - 3QFY20 Result Update

Hold: India Cements Ltd.

Target

Reliance Securities

India Cements Ltd. has an average target of 280.00 from 1 broker.

India Cements Ltd.

08 Feb 2020

394.00

0.10%

Marginal miss led by lower volumes

Neutral: India Cements Ltd.

Motilal Oswal

8 February 2020 India Cements (ICEM) 3QFY20 results highlight the demand slowdown in South India. Overall, volumes declined 10% YoY with pricing down 4% QoQ on demand weakness while EBIDTA/t reduced 12% QoQ led by lower realizations. We maintain our FY20/FY21E estimates and that demand revival in the South and subsequent pricing improvement will remain the key monitorables. Volumes declined 10% YoY to 2.66mt in 3QFY20. Blended realizations declined 4% QoQ to INR4,478/t due to weak prices in the South. Thus, net sales declined 10% YoY to INR11.9b (v/s est. EBITDA/t came in at INR484/t (in-line). However, given the lower volumes, EBITDA was down 5% YoY to INR1.3b (5% lower than est.).

India Cements Ltd. has an average target of 280.00 from 1 broker.

Is India Cements Ltd. worth buying?

318 Votes:

Buy 70.75%

Sell 17.61%

Hold 11.64%

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