Kotak Securities Broker Research reports

Bodal Chemicals Q2FY19 numbers were in line with estimates. EBITDA margin during the quarter strengthened further by 40bps QoQ, supported by a change in product mix and a higher realisation. Going ahead, we foresee...

Kajaria Ceramics results were in line with our estimates led by healthy volume growth and sequential improvement in average realization. Margins decline on YoY basis was expected due to sharp hike in gas prices. Going ahead, we expect volumes to start witnessing traction on improved demand. High gas prices may continue to impact margins but benefits to margins will come from improvement in JV performance. Company had offloaded its stake in its subsidiary Soriso Ceramics for Rs 110 mn and has booked an exceptional loss...

The Genus power stock has corrected sharply by 64% from its high of Rs86. The stock is trading at 11.6x and 10.4x FY19E and FY20E earnings respectively. We value the stock at 15x FY20E and arrive at a price target of Rs 40 (Unchanged)....

with our estimates, driven by 11.5% yoy growth in IMFL volume which was at 5.2 mn cases. Volume in Prestige and above segment grew at 14.6% yoy while Regular segment grew at 10.3% yoy. Volume growth slowed on qoq due to...

Moderate growth in advances backed by home loans Advances grew 5% QoQ to 1.85 trillion. Within advances, growth came from home loans (+6% QoQ), Credit cards & small business (+11% QoQ), agricultural loans (+6% QoQ). Overall, retail book grew 7% QoQ while corporate book...

IP revenue volatility continues: Persistent Systems indicated better revenue growth and margin improvement in H2FY19 which will partly mitigate the impact of one-offs in Q2FY19. Revenue growth will be supported by good deal wins, project starts in Q2FY19, higher contribution from healthcare business (strong demand on the digital side and higher deal sizes), meaningful jump in IP business and the reseller segment due to seasonally strong Q3FY19. In Q2FY19, it has added net 400 people reflecting strong project pipeline. Margin improvement will be supported by better sales mix...

Cyient 2QFY19 revenue grew by 5.1% QoQ in USD term to USD 169mn ahead of our estimate of USD 166.4mn. Services grew by 2.3% QoQ and DLM revenue grew by ~27% sequentially in USD terms. EBITDA margin expanded...

The company had an order book of Rs 9.7 bn at end of Q1FY19, which would have increased substantially on account of two major order wins, 1) Supply of 5 mn single phase Prepaid meters, valued at Rs 6.5 bn and 2) Supply of Advanced Metering Infrastructure (AMI) including 4.31 Iakhs smart meters. The value of the order is pegged at Rs. 3.1 bn (net of tax). However, pricing pressure likely to continue as the government aims to...

NIIT Tech reported revenue growth of 5.3% QoQ in dollar terms, ahead of our estimate of 4.3% QoQ. Similarly EBITDA margins at ~18% was also ahead of our estimates. Growth across verticals and benefits of continued large deals signed at the beginning of the year and during the quarter will power the revenue growth in FY19E. The improvement in margins was on account of growth across verticals and implementation of automation platform for delivery. PAT increased by 66.6% YoY to Rs.1.1bn. Management has guided for a strong FY19 and expects organic CC...

Passenger vehicle industry witnessed slowdown in 2QFY19 due to floods in Kerala, delayed festive season and some softening in demand. While in the near term, growth is expected to be slow, medium to long term growth...