Stocks

ACC falls most in nearly 2 years

Reuters | Updated on October 19, 2018 Published on October 19, 2018

Cement maker ACC Ltd falls as much as 8.4 per cent to Rs 1,410.05 in its biggest intraday per cent drop since Nov 2016. The September-quarter profit rose 15.7 per cent to Rs 206 cr ($28.02 million) but missed analysts' estimates, according to Refinitiv data.

The expenses increased 9.8 per cent to Rs 3,160 cr as the rising cost inflation remains a key risk to earnings in the near term, say Nomura analysts; maintain “buy” rating and TP of Rs 1,900.

Cost inflation was largely driven by higher freight and material costs, slag price in particular, while energy costs were flattish notwithstanding sharp rise in fuel costs, according to Morgan Stanley.

Published on October 19, 2018
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