ACC Ltd. share price target

Second, the patterns in inventory gainsahead of GST on-going quarterare unclear. Adding to that, energy and freight handling weighed on operating costs. Yet headline EBITDA was way ahead of our expectations. And finally, the spillover effect of capacity utilization moving up 6 percentage points, helped net profit advance by a third. With EV/ton capturing the best-case...

Strong Performance on Better Volume and Firm Realizations ACC reported better-than-estimated performance in 2QCY17 with its EBITDA per tonne surpassing Rs700-mark for the first time in the last eight quarters and stood at Rs715 vs. our estimate of Rs684. Operating profit grew by 20% YoY and 45% QoQ to Rs4.95bn vs. our expectation of Rs4.65bn. Better-than-estimated sales volume growth (+10.1% YoY and +2.1% QoQ) and firm increase in average realizations (+6.7% YoY and +5.0% QoQ) aided operating performance. Notably, operating cost per tonne for cement rose by 3% YoY to Rs3,881 (flat on QoQ basis) mainly due to hardening of fuel prices and spike in transportation cost. However,...

ACC reported EBITDA of Rs4.95bn against our estimate of Rs4.4bn, primarily due to lower operating costs (Rs73/tonne below estimate). EBITDA/tn of Cement was Rs708 against our estimate of Rs654. Jamul and Sindri plants led to a strong 10.1% yoy volume growth. Sales volume was up 10.1% yoy to 6.74mt, in line with estimate of 6.73mt. Strong volume growth was driven by contribution from Jamul and Sindri plants in the East region....

Revenue rose by 17.65% to Rs. 3099.66 Cr in Q1CY17 when compared to the previous quarter. Also it rose by 7.9% when compared with Q1CY16.

ACCs numbers beat estimates marginally (EBITDA at Rs 476/t, our est was Rs 453, -13.6% YoY, 34.6% QoQ). Pricing declined 2.2% QoQ (Rs 4,265/t, 3.8% YoY), while new East capacities (~4 mTPA) helped it deliver a 3.8% volume growth (6.6 mT). These peak season numbers hardly inspire confidence.

ICICI Securities Ltd | Retail Equity Research ACC's Q1CY17 numbers were above our estimates due to a higherthan-expected topline. The beat on the topline was led by 3.8% YoY increase in volumes to 6.6 MT, which came in as a positive surprise against 15.0% YoY decline in pan-India production volumes in the first two months of CY17 as per core industry data Revenues increased 7.9% YoY to | 3,099.7 crore (above I-direct estimate of | 2,631.7 crore) led by 3.8% YoY increase in volumes to 6.6 MT (above I-direct estimate of 5.6 MT) due to commissioning of...

EBITDA, ACC reported Rs3.4 bn. With high volumes, fixed cost elements like indirect employee and other overheads were absorbed absorbed. Yet elements like shortage in flyash, procured through longer lead, led to 10% y/y and 3% q/q increase in freight cost. cost The trend in power and fuel...

ACC?s numbers exceeded the low expectations (EBITDA: Rs 296/t, Est: Rs 273, -13.5% YoY, -28.9% QoQ) as its P&F costs unexpectedly declined 7.8% QoQ. (Likely an year end adjustment, given sharp hikes in petcoke prices (67% of kiln fuel mix in 3QCY16)). Otherwise, it was business as usual as volumes declined 9.2% YoY (5.45 mTPA, lowest 4Q volumes since CY09), on the heels of an expansion which added ~3.5 mTPA capacity (in East).

ICICI Securities Ltd | Retail Equity Research ACC's Q4CY16 numbers were in line with our estimates. Revenues dipped 6.1% YoY to | 2,671.6 crore (vs I-direct estimate of | 2,705.7 crore) led by 9.2% YoY decrease in volumes to 5.5 mt (below I-direct estimate of 5.7 mt). Realisation increased 3.3% YoY to |4,902/t (above I-direct estimate of |4,724/t). EBITDA margin decreased 28 bps YoY to 7.2% (vs I-direct estimate of 7.1%) due to higher fixed cost. EBITDA/tonne was flat YoY to...

First, as expected, non-secular events like demonetization dented the volume. Yet output from newly commissioned plants in east helps ACC with some breather. Second, other than the adverse operating leverage, the sequential patterns in energy cost and freight optimization throws a puzzle. And finally, even after adjusting for (a) cancelled coal blocks provisions at Rs385mn; and...