Century Plyboard's Plywood and MDF margins were stellar in Q1FY20. Century's net sales at Rs5.7 bn was slightly below our forecast. However, EBITDA at Rs926 mn was 9.9% above our forecast. Plywood segment EBIT margin expanded to 14.9% (+360bps QoQ) on lower prices of raw materials. Segment EBIT improved 28.7% QoQ to Rs470 mn. Further, higher realization led to improvement in MDF segment's EBIT margin by 1,012bps QoQ to 18.4% and segment EBIT improved 168.4% QoQ to Rs169 mn. For FY20/21, we raise our realization estimates for MDF given improvement in demand and better realization in Q1FY20. We value the stock at PE multiple of 16x on our FY21E...