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Cement demand may grow at 8% in FY13

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Analysts expect that the cement business for major players in the country is expected to be profitable in the first quarter of this financial year, backed by an increase in cement prices and higher volume growth on a low base.Pan India, demand for cement is estimated to grow at eight per cent in FY13. The utilisation rate is estimated to remain at 77 per cent, as the capacity addition of 21 million tonne (mt) is expected to negate the impact of incremental demand of 19 mt during the period, said a cement analyst.The cement sector (only integrated cement players are considered for Q1 preview) to report an 18 per cent growth in sales and a significantly high growth of 20 per cent in profit. The operating margins are expected to be under pressure, down 25-50 basis points, mostly due to increase in freight costs. The decline in prices of petroleum coke is expected to benefit those using this fuel.Nevertheless, strong sales profit growth is expected from Madras Cement, Mangalam Cement, Shree Cement, JK Cement and JK Lakshmi Cement. ACC and UltraTech Cement might also do well, while Ambuja Cements might witness a good growth in profit.The impact of higher realisations, thanks to double-digit rise in cement prices, would get diluted by a rise in rail freight rates and less capacity utilisation. However, the benefit of softening imported coal prices would reflect in the second quarter of the current financial year.The industry is expected to report a nine per cent growth in volume in the first quarter due to lower base, delayed monsoon and strong demand in the northern region. However, on sequential basis, cement volumes are likely to be down by around eight per cent due to seasonal factors.

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Concrete

Cement industry to gain from new infrastructure spending

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As per a news report, Karan Adani, ACC Chair, has said that he expects the cement industry to benefit from the an anticipated US$2.2tn in new public infrastructure spending between 2025 and 2030. In a statement he said that ACC has crossed the 100Mt/yr cement capacity milestone in April 2025, propelling the company to get closer to its ambitious 140Mt/yr target by the 2028 financial year. The company’s capacity corresponds to 15 per cent of an all-India installed capacity of 686Mt/yr.

Image source:https://cementplantsupplier.com/cement-manufacturing/emerging-trends-in-cement-manufacturing-technology/

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Concrete

AI boom drives demand, says ACA

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The American Cement Association projects a nearly 1Mt annual increase in US cement demand over the next three years, driven by the surge in AI data centres. Consumption by data centres is expected to grow from 247,000 tonnes in 2025 to 860,000 tonnes by 2027. With over 5,400 AI data centres currently operating and numbers forecast to exceed 6,000 by 2027, the association cautions that regulatory hurdles and labour shortages may impact the industry’s ability to meet demand.

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Concrete

GoldCrest Cement to build plant in India

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GoldCrest Cement will build a greenfield integrated plant with a 3.5Mt/yr clinker capacity and 4.5Mt/yr cement capacity. GoldCrest Cement appointed Humboldt Wedag India as engineering, procurement and construction contractor in March 2025 and targets completion by March 2027. It has signed a 40-year supply agreement with Gujarat Mineral Development Corporation for 150Mt of limestone from its upcoming Lakhpat Punrajpur mine in Gujarat.

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