Heritage foods Ltd posted its Q1FY19 which was below our expectation. Net revenue stood at INR 6.4 Bn (+4.1% YoY), as against our estimates of INR 7 Bn, mainly due to a recovery in demand resulting from reduced prices for dairy products. EBIDTA was at INR 460 Mn (+70.9% YoY), with OPM at 7.2% (+280 bps YoY). Reduction in milk prices and lower operating expenses has resulted in better margins. PAT for Q1FY19 stood at INR 207.9 Mn (+12% YoY), with NPM at 3.2% (+23 bps YoY). Higher tax out go (+88% YoY) and a...