#Cement Sector: Rural & Govt are driving the demand!

@gvkreddi @SandipGhose @nid_rockz @nakulvibhor @saketreddy

🧵 Image
1/ Demand Drivers

-The fundamentals in the cement industry are strong.

-Demand outlook is positive, supported by the underlying demand in rural housing and government focus on infrastructure.

-Prices are a function of market dynamics
-Lower interest rates will aid infrastructure and real estate demand in the medium to long term.

-Post severe disruption during lockdown, there have been healthy volumes supported by government measures.
2/ Industry

-India is already a mature market for the cement industry.

-The top 5-6 cement producing groups manage about 60% of the utilized capacity and production.

-Consolidation can be seen in the coming years, subject to attractive valuations.
3/ Companies

-#Ambuja and #ACC together are second largest cement producers, offsetting its customers across segments and regions.

-Both the companies have significant expansion plans both in form of new integrated plants supported by increase in grinding capabilities.
-Both companies will increase their volume market share.

-#ACC’s 4.5mtpa integrated plant in Ametha, MP will further expand ACC’s footprint in the profitable market of Central India.

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with Financial Monk

Financial Monk Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @financial_monk

21 Nov
1/ Performance

-Q2 FY-21 had the highest quarterly sales of 68 Cr, a growth of 84% y.o.y. Top 10 products contributed 71% of topline and Top 5 contributed 45% of topline.

-Growth reasons: Market share gain + Growing demand.
-Company’s traditional products are mainly responsible for this growth.

-Entire growth was led by volume growth of traditional products. They used newer capacities to manufacture traditional products.
Read 44 tweets
20 Nov
1/ Performance Image
2/ V Next Biz

-It has picked up as lockdown ended

-Digitization has helped

-Utilization is 70% & EBITDA% is 15%

-They have been working in this segment since last 10 years and currently the are banking on good margins and this year they expect to post 15-20% higher biz
Read 26 tweets
19 Nov
#FMCG: Safety is augmenting the growth!

#HUL pivoting to healthier food products and on other side #Emami enters home hygiene segment!

@blitzkreigm @AdeParimal @rishidarda @StraightTalk73 @Vivek_Investor

🧵 ImageImage
1/ #HUL

-Making changes to its product composition, including continued lowering of calorie, salt and sugar levels across all food products.

-Objective is to help people transition towards healthier diets and to reduce the environmental impact of the food chain.
-Foods portfolio will support a diet providing a max of 5g of salt intake a day by 2022.

-In packaged icecream,95% of products will contain no more than 22g of total sugar and 250 Kcal per serving by 2025.
Read 8 tweets
19 Nov
1/ #PLI scheme

-They believe once these policy initiatives are executed on the ground, it will be positive for food processing exports.
2/ #Capex Plans

-Announced plans to invest ₹2600 cr in next 3-4 yrs, with a sharp focus on productivity improvements.

-New factory in Sanand, Gujarat is under construction
currently.

-They seek more nutritious and immunity boosting propositions in pandemic times.
Read 5 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!