Note ban and the contrasting tale of two cement players, ACC and UltraTech

ACC's volumes & financial numbers bore the brunt of demonetisation, Ultratech was largely unscathed

ACC disappointments on operating profit and volumes fronts in December quarter lagging UltraTech UJJVAL JAUHARI

While the street expected demonetisation to hit cement majors, the impact was more profound on ACC’s performance during December quarter, its last quarter for the calendar year 2016. 

The other pan-India peer UltraTech had seen a 2% decline in volumes in its third quarter of 2016-17, while ACC’s volumes for the quarter at 5.45 million tonne declined 9.1% from 6 MT in the year-ago quarter. 

ACC’s revenues at Rs 2,672 crore declined 6.2% year-on-year and were lower than Bloomberg consensus estimate of Rs 2,720 crore.