India's cement industry is going through a challenging phase. With demand moderating in the second half of last fiscal and input costs surging, there are concerns around profitability.
During the pandemic, demand was supported by the housing segment, but can that momentum continue? To be sure, there is a 36% increase in the budgetary allocation for the infrastructure sector this fiscal.
How would all that crosswinds translate to cement demand in the near term?
A steep rise in the prices of coal/petcoke and diesel has cranked up the cost of production of cement makers.
Will the cost pressure continue? Is the rise in cement prices enough to protect profitability?
In the context, CRISIL is organising a webinar on the cement sector, where its experts will present insights on:
Demand outlook for this fiscal - region and segment trends, and drivers
Outlook on profitability - trends in realisation, input cost and operating leverage
Credit outlook - net impact of changing demand and profitability dynamics on the credit profiles of CRISIL-rated cement manufacturers
Capex and consolidation scenario given the step-up in expansion plans and healthy balance sheets.
This will be followed by a panel discussion with industry leaders and a Q&A session.
Disclaimer: This event and its content are intellectual property and confidential information of CRISIL. Any use of the same without written permission of CRISIL is illegal and hence punishable. Recording the webinar in any form in full or part or copying, altering, distributing or streaming the webinar is strictly prohibited and violation will attract legal action.
