Kohat Cement Co. Ltd.

Kohat Cement Company Limited. Kohat Cement Company Limited is a Pakistan-based company, which is engaged in the production and sale of cement. The Company's products include Grey Cement and White Cement. The Company offers Ordinary Portland Grey Cement under the brand name KOHAT CEMENT. The Company produces and sells White Portland Cement under the brand name KOHAT SUPER WHITE. The Company also offers white canvas for various architectural applications. The Company's white canvas is used for concreting and ornamental applications, terrazzo floorings, fixing of tiles and marbles, and others. The Company's White Portland Cement is available in all local markets in Pakistan and Afghanistan. The Company has an annual production capacity of 2.8 million tons of Grey Cement and 150,000 tons of White Cement. The Company produces both Grey and White Cements at its plants located in Rawalpindi Road, Kohat.
  • TickerKOHC
  • ISINPK0075001013
  • ExchangePakistan Stock Exchange
  • SectorConstruction & Materials
  • CountryPakistan
Rahul Hans

Pakistan Cement: Upgrade estimates on significantly weaker cost pressures

Despite a slow demand outlook, the cement sector’s profitability is expected to re-surge in FY 21/22f due to significant cost savings, which back an average 6ppts expected increase in the sector’s gross margins. Key supporting factors are lower international oil and coal prices (energy cost savings) and steep decline in interest rates. We think cement demand and prices will rebound strongly 2HFY21 onwards when the Covid-19 pandemic will likely be more manageable and the government would likel...

Rahul Hans

Kohat Cement: Q3 FY 20 review: Negative gross margins lead to first loss in 10 years

Kohat Cement(KOHC) posted 3QFY20 NLAT of PKR381mn (LPS: PKR1.90),worsethan our estimatedlossof PKR208mn (LPS: PKR1.04).This is the first loss by KOHC in the past 10 years.This took 9MFY20 LPS to PKR1.41. The yoyerosion of bottom-line in 3Qisattributed tolower retention prices amid significant price cuts followingitsexpansion. Major deviation intheresult was on account of negative gross margins versus our expectation of+2%. Key highlights: * Net Sales declined by 34% yoy to PKR2.6bn in 3QFY20...

Rahul Hans

Pakistan Cements: 3QFY20 preview – the worst is not over yet

With a backdrop of lower retention prices, higher input costs, elevated finance costs and infighting among North-based producers, profitability of IMS cement universe is likely to remain depressed in 3QFY20, with an estimated cumulative net losses of PKR2.5bn. Almost all producers – including the less leveraged FCCL and KOHC – alongside CHCC, MLCF and DGKC are likely to book losses in 3Q amid (i) further compression of retention prices qoq (ii) increased competition, (iii) higher coal prices ...

Rahul Hans

Pakistan Cements - Factors for a turnaround are well positioned

We think that the present lockdown will keep cement demand below full potential until the end of 1HFY21. Thereafter, a strong rebound in demand growth and profit margins seems more probable given an earlier-than-expected start of monetary easing and government’s stimulus for the construction sector, in our view. During FY21f, Cement producers will have greater willingness and ability to raise prices (or trim discounts) at the prospect of rising economic growth and government focus on low-cost...

1 director bought

A director at Kohat Cement bought 109,500 shares at 57.760PKR and the significance rating of the trade was 54/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clearly showing Close periods where trading activity is restricted under listing rules. The names of boar...

1 director bought

A director at Kohat Cement bought 109,500 shares at 57.760PKR and the significance rating of the trade was 54/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clearly showing Close periods where trading activity is restricted under listing rules. The names of boar...

Rahul Hans

Pakistan Cement: Upgrade estimates on significantly weaker cost pressures

Despite a slow demand outlook, the cement sector’s profitability is expected to re-surge in FY 21/22f due to significant cost savings, which back an average 6ppts expected increase in the sector’s gross margins. Key supporting factors are lower international oil and coal prices (energy cost savings) and steep decline in interest rates. We think cement demand and prices will rebound strongly 2HFY21 onwards when the Covid-19 pandemic will likely be more manageable and the government would likel...

Rahul Hans

Kohat Cement: Q3 FY 20 review: Negative gross margins lead to first loss in 10 years

Kohat Cement(KOHC) posted 3QFY20 NLAT of PKR381mn (LPS: PKR1.90),worsethan our estimatedlossof PKR208mn (LPS: PKR1.04).This is the first loss by KOHC in the past 10 years.This took 9MFY20 LPS to PKR1.41. The yoyerosion of bottom-line in 3Qisattributed tolower retention prices amid significant price cuts followingitsexpansion. Major deviation intheresult was on account of negative gross margins versus our expectation of+2%. Key highlights: * Net Sales declined by 34% yoy to PKR2.6bn in 3QFY20...

Rahul Hans

Pakistan Cements: 3QFY20 preview – the worst is not over yet

With a backdrop of lower retention prices, higher input costs, elevated finance costs and infighting among North-based producers, profitability of IMS cement universe is likely to remain depressed in 3QFY20, with an estimated cumulative net losses of PKR2.5bn. Almost all producers – including the less leveraged FCCL and KOHC – alongside CHCC, MLCF and DGKC are likely to book losses in 3Q amid (i) further compression of retention prices qoq (ii) increased competition, (iii) higher coal prices ...

Rahul Hans

Pakistan Cements - Factors for a turnaround are well positioned

We think that the present lockdown will keep cement demand below full potential until the end of 1HFY21. Thereafter, a strong rebound in demand growth and profit margins seems more probable given an earlier-than-expected start of monetary easing and government’s stimulus for the construction sector, in our view. During FY21f, Cement producers will have greater willingness and ability to raise prices (or trim discounts) at the prospect of rising economic growth and government focus on low-cost...

Farheen Irfan

Pakistan Cement Sector - KOHC and PIOC Standing Out on Asset Valuation

Despite eyeing a near term bearish outlook on offtakes, margins and profitability, the very cyclical nature of the Cement sector compels us to look through the downturn and analyze the listed companies on their Replacement Cost. Thanks to recent stock price declines and PKR devaluation, EV per ton of our Cement Universe currently stand in the range of USD 22-66 vs Replacement Cost of ~USD100 and 8 year average of USD 35-122;. KOHC and PIOC appear to be the most attractive priced, reflecting EV/ton of USD22 and USD35, respectively.

Ford Equity International Rating and Forecast Report

Ford Equity International Research Reports cover 60 countries with over 30,000 stocks traded on international exchanges. A proprietary quantitative system compares each company to its peers on proven measures of business value, growth characteristics, and investor behavior. Ford's three recommendation ratings buy, hold and sell, represent each stock’s return potential relative to its own country market.. The rating reports which are generated each week, include the fundamental details behind each recommendation and reflect the fundamental and price data as of the last trading day of the week...

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