CARE Ratings Ltd.

NSE: CARERATING | BSE: 534804 | ISIN: INE752H01013 | Industry: Other Financial Services
| Mid-range Performer

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CARE Ratings Ltd.
08 Aug 2016
1173.50
1.13%
ICICI Securities Limited
Reported rating revenues were at | 56.7 crore (up 18% YoY) vs. our estimates of | 54 crore. Higher growth was due to increase in both volumes & surveillance exercises carried out. Total volume of new debt rated increased from | 265000 crore to | 378000 crore with increases being witnessed in both corporate debt & bank loans rating • Other income was at | 2.5 crore vs. estimate of | 3.1 crore down 14.8% YoY mainly due to investments made for a longer tenure where income is booked only when earned & not on an accrual basis • EBITDA came in at | 35.3 crore vs. | 27.9 crore expected while the EBIDTA margin was at 62% vs. 52% expected. This was mainly due to higher revenue & lower-than-expected expenses of | 21.9 crore. Esop charges of | 1.34 crore in Q1FY16 were not there in Q1FY17. Further, other expenses saw a decline of 25% YoY to | 4.2 crore. They stay structurally positive on the rating business in next three to five years. ICICI Securities Limited maintain TP of | 1400 valuing at 23x FY18E EPS, maintain BUY.

Trendlyne has 4 reports on CARERATING updated in the last year from 2 brokers with an average target of Rs 1496.
CARE Ratings Ltd.'s price crossed above 30Day SMA today
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