New Research Reports

HDFC's PAT declined by 5% YoY; however adjusted for dividend, sale of investments, net gains on assigned loans, provisioning and higher liquidity impact, PBT grew by 22% YoY. Asset quality improved sequentially with stage 3 assets for non-individual portfolio declined by 60bps QoQ. 22% book under moratorium compared with 26% in phase 1; however decline seems to be on lower side. Individual loan segment slowed down to 11% vs 14% while non-individual loan growth improved to 15% vs 6%. HDFC has conservative approach towards higher provisioning as gains from subsidiary investments utilized for contingent provisions. Provisions stood at Rs.122.85bn higher than regulatory requirement (Rs.44.5bn)....

MSIL Q1FY21 results were below our and consensus estimates at operating and PAT level. EBITDA loss came at Rs8.63bn vs our estimated loss of Rs633mn. Reported loss was Rs2.5bn vs our estimated loss of Rs573mn. We believe lockdown and risk aversion has significantly impacted footfalls at dealerships. We expect demand for 4W to remain muted even post lockdown and lower replacement demand. We expect 4W industry to decline ~15-18% in FY21 and more demand for pre-owned cars, subscription based models and small cars. We cut our FY21 volume/revenue estimates by 7%/12% respectively and expect recovery in FY22 with 11%/15% increase in volume/revenue. We change our rating to REDUCE (earlier...

Reliance Industries (RIL) Q1FY21 adjusted EBITDA was below our estimates but adjusted PAT beats estimates due to deferred tax write back. Petchem (Rs34bn, IDBIest Rs37 bn), Refining (Rs29bn, IDBIest Rs35 bn) and Retail (Rs7.2bn, IDBIest Rs11.5 bn) EBIT disappointed while Jio EBIT (Rs47bn, IDBIest Rs45 bn) was slightly above expectations. Reported GRM came at US$6.3/bbl vs our estimate of US$6.6/bbl. The company highlighted strong traction at Jio would continue with faster roll out of Jio Fiber and improvement in ARPU. However, O2C business would continue to see challenges in near term. We keep our estimates and TP unchanged at Rs2,154. Though, due to recent...

TVS Motor (TVSL) Q1FY21 results were above our estimates at EBITDA and PAT level. EBITDA and Adj. loss for the quarter was Rs488mn/Rs1.4bn vs our estimates of Rs667mn/Rs1.5bn on account of lower RM cost and lower operating expenses. We expect 2W industry to decline ~15% in FY21 and more demand for commuter segment. We anticipate lockdown in certain states/cities would impact demand for TVSL premium products. We assume TVSL products like Apache/RR310 and scooter portfolio (Jupiter/Ntorq) could see muted sales. We cut our volume /revenues estimates by 10%/7% for FY21/FY22. We change our rating to SELL (earlier HOLD) with TP of Rs300...

Taro Pharma's sales declined 33% QoQ to US$118m in Q1FY21 v/s US$175m in Q4FY20. The company reported lowest revenue in last 36 quarters including lowest ever gross profit and gross margin. Though Q4FY20 was an exceptional quarter where revenues shot up due to stocking up during COVID yet its revenue, gross profit and gross margin continued to be impacted due to derma products price erosion. Taro reported net loss of US$434m due to...

y-o-y, oral care category which contributed to almost 51% of the total revenue, experienced an impressive growth in sales (10.4%) in the June quarter. With this unexpected revenue performance, the quarter recorded the one of the highest quarterly profits (adj. EBITDAEBITDA Rs. 151.76 cr) for Essel....

Manappuram Finance (MFL) reported weak performance in terms of asset quality and growth front, led by its non-gold business. However, operating performance of the Company remained healthy. Gold loan business of the Company continued to remain strong. NII for the quarter grew by 19% YoY to Rs 946 cr, led by 26% YoY growth in consolidated AUM. Healthy NII growth and cost optimization bolstered operating profit growth at 41% YoY to Rs 638 cr. Cost to Income ratio came down by 384 bps QoQ to 32.9%. Profit during the quarter increased by 35% YoY to Rs 368 cr, but it has declined by 8% QoQ, due to 19% QoQ increase in provisions at Rs 145...

Dabur India earnings were below our estimates on all fronts as Covid-19 pandemic disrupted the business performance of the company. Profit for the quarter de-grew by 6.1%YoY/+21.0% QoQ to Rs 341 Cr during Q1FY21. Consolidated revenue stood at Rs 1,980 cr ,below our estimates Rs 2,209 registering a degrowth 12.9%YoY/+6.1%QoQ. Reported EBITDA de-grew by 9.0%YoY/+18.2%QoQ to Rs 416 Cr, below our estimate of Rs...

Asian markets are trading mixed tracking mixed cues from Wall Street overnight while investors take note of China's official manufacturing Purchasing Managers' Index for July which came in above expectations at 51.1. Nikkei is trading lower by 1.87%, Hang Seng is trading higher by 0.10% and Shan..

Manappuram Finance (MGFL) is one of the leading gold loan NBFCs in India and is well diversified into other business segments like housing loan, vehicle loan and microfinance, with a branch network size of...