Cement shares fall; earnings fail to impress
Reuters Market Eye - Shares in cement makers fall after October-December earnings fail to impress investors.
Ambuja Cements' (ABUJ.NS) net profit fell by 29.8 percent to 2.12 billion rupees, while ACC Ltd (ACC.NS) on Thursday reported a 49 percent fall in net profit.
Weak results are dashing some of last month's optimism that cement prices would rise if capacity lags demand.
Deutsche Bank downgraded ACC rating to "hold" from "buy", saying October-December earnings had come in below its forecast and noting lower demand and prices for cement were casting doubts about the health of the industry.
Ambuja Cements shares fall 5.2 percent while ACC is down 1.8 percent.
(Reporting by Abhishek Vishnoi)
- Tweet this
- Share this
- Digg this
Campaign season in India means it’s also promise season, and parties aren’t short on pledges for what they would do if they come to power after election results come out. Full Article