UltraTech Cement Q1 Outcomes Preview: PAT could leap 30% YoY on price good points, larger volumes
The anticipated development is basically attributed to strong quantity growth from current acquisitions, modest value hikes throughout key markets, and improved operational effectivity.
Brokerages estimate gross sales volumes between 12% and 18% YoY larger, pushed by each natural momentum and inorganic contributions.
Kotak expects whole volumes at 34.4 million tonnes, up 11.5% YoY, whereas Motilal and Nuvama additionally attribute the rise to prior acquisitions. Nevertheless, on a like-to-like foundation (excluding acquisitions), Motilal estimates a 6% YoY quantity development.
This is what to anticipate from Ultratech Q1
Kotak Equities
We think about volumes of 34.4 million tons (+11.5% YoY, -7.3% QoQ) in the course of the quarter led by previous acquisitions. We estimate blended realizations to extend 2.2% QoQ (+2.4% YoY) on account of value hikes in most areas in the course of the quarter. We estimate prices/ton to extend by 2.1% QoQ (-3.6% YoY) led by working deleverage and better gas prices. We estimate EBITDA/ton to marginally improve sequentially to Rs 1,274/ton (+32% YoY, +2.8% QoQ) led by value hikes in the course of the quarter, partially offset by larger prices.
Nuvama
Gray cement volumes are anticipated to rise 18% YoY aided by acquisitions. Gray cement realisations to rise 1.75% QoQ. General, blended EBITDA/t could rise to Rs 1,084 as towards Rs 951 in the identical quarter earlier 12 months.
Motilal
Gross sales quantity (consolidated) is anticipated to extend 17% YoY, aided by inorganic development. Nevertheless, on a like-to-like foundation, Ultratech Cement’s quantity development is estimated at 6% YoY. Blended realization is more likely to improve 3% YoY. RMC income is anticipated to extend 13% YoY, whereas white cement income is anticipated to be flat YoY. Variable price per ton is anticipated to be flat YoY and opex/t is anticipated to say no 2% YoY. We anticipate EBITDA/t at Rs 1,186 vs Rs 951/Rs 1,126 in 1QFY25/4QFY25. Depreciation/curiosity bills are estimated to extend 37%/90% YoY. Adj PAT is estimated to extend 32% YoY.
Phillip Capital
Quantity development seen at +12% YoY; -13% QoQ. Blended realisations seen +4% YoY; +4% QoQ. EBITDA/tonne seen at Rs 1,244 (+31% YoY; +10% QoQ).
YES Securities
We estimate blended EBITDA/tn at Rs 1,287 for Q1FY26, up 35% YoY and 14% QoQ. That is pushed by robust quantity development (+31% YoY, +2% QoQ) and value discount (opex/tn down 7.2% YoY and a couple of.9% QoQ), regardless of weak realizations (flat YoY, +1% QoQ). We anticipate realizations from white cement and RMC to offset the muted pricing in gray cement.
(Disclaimer: Suggestions, ideas, views, and opinions given by the specialists are their very own. These don’t signify the views of The Financial Occasions)
