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Ambuja Cement’s sales grow by 5% MoM: Karvy

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Ambuja Cement’s sales in December 2011 rose by five per cent month over month (MoM) and six per cent year over year (YoY) to 1.93 million mt. As per cement dealers, most of this monthly improvement has been on account of inventory push by the company as Ambuja follows calender year (CY). With this, Ambuja concluded CY11 with 6 per cent YoY volume growth, said Karvy Stock Broking.As per our interactions with industry participants, we expect industry sales for December 2011 to grow between 4-6 per cent MoM (up 8 per cent YoY). This would imply nine months year to date (YTD) growth at 5.4 per cent YoY. Cold weather conditions in the northern half of India and lack of infrastructure and realty projects would continue to subdue demand growth at least for the next two months, it added.

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