UltraTech, Ambuja ACC others: Some improvement in cement prices positive, but more awaited

Stock Market Today: UltraTech Cement Ltd, Ambuja Cements, Dalmia Bharat, ACC among others may benefit as Edging up cement prices may accrue positives

The Cement manufacturers while have seen decent demand, it is the improvement in cement prices that has been watched for Since start of October- December 2024 quarter, to push up earnings growth. With progressing January-March quarter being historically favorable for cement price improvement, anticipation is that the prices may improve now.

Analysts said that Although efforts were made to raise prices across the markets, their conversations with dealers, sales executives, and C&F agents reveal that the companies found it difficult to maintain these in the majority of markets because of rising supply and a competitive pricing trend.

Some selective price improvement visible

The cement channel checks by Elara Securities India Pvt Ltd suggest that , the average retail price of cement in India increased by a small ₹2 per 50 kg bag MoM to INR 370 after a favorable trend in cement prices during December and January.

The largest price increase, of ₹5 per bag, was recorded in Central India as per Elara , which was followed by ₹4 per bag in West India and ₹3 per bag in North India. East and South Indian prices remained mostly steady month over month.

Regional Cement price trend

Cement prices in a few pockets of Central and North India improved for the third consecutive month in February, said analysts

South India which sees major over supply situation. has failed to achieve any major gain in February. However on the positive side prices in South India remains stable and continue to hover around January levels, as per analysts

The Cement prices in West India also improved but was led by Gujarat as per Elara Securities and Maharashtra have still remained a mixed bag.

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