Cement Sector Investment Hinges on Profitability: Report

30 Dec 2024 CW Team

The Indian cement industry must significantly boost its profitability, with EBITDA surpassing Rs 1,000 per tonne, to justify future investments, according to an IKIGAI Asset Manager report. Despite strong demand and consolidation, achieving this profitability requires substantial pricing support. Currently, the industry achieves an EBITDA of Rs 800 per tonne, with a post-tax return on capital employed (ROCE) of only 3 per cent after accounting for depreciation and capacity utilization. To justify incremental investments, profitability needs to double. The report also highlights challenges such as the expiration of over 25 per cent of limestone mines by 2035 and the need for enhanced efficiencies and better pricing strategies. Renewable energy costs, offering cheaper alternatives to grid power, could help improve margins. The report stresses that cement pricing power remains weak, with prices increasing by just 50 per cent in the past decade, far behind inflation in other sectors. The next phase of growth for the industry will depend on optimising pricing strategies, increasing green energy use, and enhancing operational efficiencies to sustain profitability. (ANI)

Real Estate

27 Jun 2025

Mahindra Lifespaces Bags Rs 12.5 billion Redevelopment in Mulund

Mahindra Lifespace Developers (MLDL), the real estate and infrastructure development arm of the Mahindra Group, has been appointed as the preferred developer for the redevelopment of a premium housing society in Mulund (West), Mumbai. The project will be developed across a 3.08-acre land parcel, with an estimated development value of approximately Rs 12.5 billion. Strategically located, the site enjoys proximity to major connectivity points—just 1.4 km from the upcoming Mumbai Metro Line 5 and 0.8 km from the Goregaon-Mulund Link Road. It also offers seamless access to the Eastern Expre..

Snowman Adds Warehouses in Kolkata and Krishnapatnam

Snowman Logistics, India’s leading integrated temperature-controlled logistics company, has announced the commencement of operations at its two new state-of-the-art, owned cold storage facilities in Kolkata and Krishnapatnam. With these additions, the company’s total pallet capacity has reached 1,50,754, spanning 43 warehouses in 20 cities across the country. The newly operational Kolkata facility offers a storage capacity of 5,630 pallets, while the Krishnapatnam facility holds 3,927 pallets. These warehouses are equipped with advanced automation and infrastructure designed to enhanc..

Noesis Enables IHCL Hotel Deal in Udupi–Manipal Corridor

NOESIS Capital Advisors, India’s leading hotel investment advisory firm, has successfully facilitated a landmark hospitality transaction in the Udupi–Manipal region of Karnataka. The deal involves the acquisition of a nearly completed, 130-key upscale hotel that will operate under one of the premium brands of IHCL, reinforcing NOESIS’ position as a preferred partner for strategic hospitality transactions across India. Strategically located on the Udupi–Manipal Highway, the 1.03-acre property will cater to business travellers, pilgrims and families visiting Manipal University. With..