Negative surprise in revenues was offset by a positive surprise in EBITDA margins, resultingininlineoperationalresults. 9 EBITDA margins expanded 100bps yoy to 8.6% aided by a turnaround in SAE and benefitsoflowerrawmaterialpricesonfixedpricecontracts(~50%oforderbook). Key highlights: 1Q order inflows declined 8% yoy to Rs 28.3bn due to a higher base yoy. Orderbook(Rs104bn)increasedsequentiallybutremainedflatyoy.RevenueatRs17.5bn( 7%yoy)werebelowourestimatesmainlyon:(1)slowerthanexpectedexecutioninitsT&D; segment (66% of total) where revenues fell 13% yoy and (2) lower commodity prices...
Key highlights: Buoyant pricing environment supported the profitability of most of the segmentsledbyZincduringthequarter.However,certainoperatingdisruptions(Power, Copper&Aluminium;)marginallydentedtheprofitabilityforthequarter.Companyremains positiveonzincpricesandwillbenefitbythesame.Themanagementfocustowardsasset sweating&costreductiontoimprovetheprofitabilityoverthecomingquarters.Improved..;.
growth and healthy NIMs. We expect the growth to pick up pace over FY17/18 as the companybuildsontheexpertiseithasgainedinnontraditionalmarkets.AtCMP,thestock tradesat2.3xFY18BVwithRoAof2.8%andRoEof14%.MaintainBuywitharevisedprice...
than expected NPA provisions. NII growth continued to remain weak (10% yoy to Rs 37bn)belowourexpectationduetoweakloangrowth. Assetqualitycontinuedtodeteriorate,contrarytoourexpectationofimprovementas Slippages amounted to Rs 92.3bn (higher than expectation) vs. Rs 235bn in Q4FY16, consequentlyGNPA%increased85bpsqoqto13.75%,andNNPA%increased55bpsqoq to 9.16%. Recovery/upgrades were robust at Rs 48.3bn/11.8bn as a result absolute increaseinGNPAwasmarginalat86bpssequentially. NIM declined 45bps yoy to 2.45%, as yields declined (102 bps yoy to 8.54%) due to...
8 ICICI Bank's net profit at Rs 22.3bn, was ahead of our expectation due to lower NPA provision and higher treasury income. Core operating performance was weak due to mutedNIIandweaktrendinthecorefeeincome....
Revenue growth of 6.8% was below our/consensus expectations on weak domestic/organic international growth; acquisitions drove consolidated growth by 6% In domestic business, Household Insecticides declined on late onset of monsoon, and Soaps and Hair Colours were subdued...
Key highlights: Strong quarter led by stellar margin expansion of tractor and railways divisions. We remain positive on the company's prospects and believe it will be a big beneficiaryofarevivalintractorsalesbasedon:(1)tractorindustryrecoverygatheringpace with industry growth expectation of 10%+ (2) focus on noncore markets (3) railways division orderbook at all time high of Rs 1000mn (4) costcutting initiatives bearing fruits. WebelieveEscortswillmorethandoubleitsprofitsbetweenFY1618,ledby12%revenue CAGRand440bpsmarginexpansion.WeincreaseourFY18EPSby10%onconsistentmargin...
Key highlights: Dish TV missed our revenue estimates due to lowerthanestimated ARPU, but subscriber addition at 0.4mn was in line. EBITDA missed our estimates by 8% due to highercontentcostandhigherpromotionalexpenses.ARPUhasbeenflatforthelastfive...
Key highlights: Weak quarter overall as the company took price action in key export markets.WithavailabilityofUSDexpectedtoimproveinkeymarketsofNigeriaandEgypt, weseesequentialimprovementinexportvolumes.Domesticsalesshouldremainstrongon successful new launches.We remain upbeat on its longerterm prospects, as newproduct launches, strong threewheeler volumes, and aggressive pricing will help it to improve its domesticmarketshareandexportswillbestable.Wetweakourestimatesandincorporate...
EBITDA growth beat our/consensus estimates on lower advertising/staff costs Key highlights: In Q1FY17, value growth in SunDrop/Crystal/peanut butter/bag snacks/ready to cook was 9%/-2%/16%/32%/6% and volume growth was 5%/-10%/16%/7%/7% for the same. In the Foods portfolio, consumer business (includes read to eat, extruded snacks, tortilla and peanuts) grew by 14% yoy and vending business fell 61% yoy on higher competitive activity. Foods currently accounts for 22-23% of total turnover. In Q1FY17, Ready to cook/ready to eat/peanut butter/vending business contributed Rs...
