Kotak Securities Broker Research reports

EIIL Q1FY19 result was higher than our estimates; company posted operating margin expansion following the immense disappointment in the previous quarter, when the company reported EBITDA loss. Management is able to reassure (during the course of our interaction) that most of the challenges are...

Tata Sponge (TTSP) Q1FY19 reported numbers were in-line with estimates. Higher realisation and improvement in operating leverage led to a 56.1% YoY jump in EBITDA to Rs603 mn (down 2.2% QoQ), with an EBITDA margin of 23.1% (below estimates). TTSP's spread in sponge iron segment continued to...

Hisar unit (JSHL) of Jindal stainless (JSL) has always been a profitable unit even in the turbulent times, despite being located in a landlocked area. Given JSHL's market position and 7.5% demand (improving infrastructure) CAGR for the next decade, we believe the group is well poised to capture higher market share. Besides this, the increase in contribution from VAP to 65% of the overall sales mix, will help the company to sustain its earnings. We continue to remain positive on the company given its sustainable earnings, however...

across segments led by decorative segment. Management commented that raw material price inflation, volatility in crude prices and INR depreciation was more pronounced this quarter which impacted the operating margins....

HIL Q1FY19 PAT was slightly lower than our estimates due to lower margins in the lighting segment. However we are encouraged by the sales and margin growth reported in other segments/Lloyd. We see margin expansion in...

Central Depository Services (India) (CDSL) stable revenue base and fixed cost model enables the company to register strong margins in line with revenue growth. Repeat business in multiple offerings across DP's, corporate, capital market intermediaries, insurance companies and others has enabled the company to clock ~21% CAGR top-line growth over FY14-FY18, while cost (employee) increased by only 14% during the same period. High FCF generation, stable dividend policy (~40%) and a strong balance sheet (net cash of Rs5.5bn, at end of FY18) provide further support. Stable growth in...

Revenue in the quarter grew by 47% YoY on strong volume growth. We note that 1QFY18 witnessed significantly weak volumes on account of BSIV transition and GST implementation. EBITDA for the quarter increased by 112% YoY, supported by 48% volume growth and margin expansion. PAT for the quarter came in at...

GHCL's Q1FY19 PAT was below our estimate due to higher expenses of Rs220mn pertaining to the MTM loss and annual maintenance shutdown, which impacted the inorganic chemical segment performance. The textile segment reported sequential improvement in performance, supported by spinning segment. EBITDA during the quarter declined 10%/17% YoY/QoQ to...

NIIT Tech, in the past few consecutive quarters, has delivered a steady beat on revenue expectations. Company has been consistently winning large deals (> TCV USD 20mn) against Tier I vendors which is aiding the strong revenue visibility....

NIIT Tech, in the past few consecutive quarters, has delivered a steady beat on revenue expectations. Company has been consistently winning large deals (> TCV USD 20mn) against Tier I vendors which is aiding the strong revenue visibility....