Prabhudas Lilladhar Broker Research reports

PGIL: Leading exporter of apparels in India .............................................................................. 5 Industry Overview ....................................................................................................... 8 Industry value chain ......................................................................................................................... 8 Asia Global textile manufacturing hub .................................................................................... 9 India Striving to become a global leader .............................................................................. 10 Investment Arguments ............................................................................................. 11 Well-diversified manufacturing footprint ................................................................................ 11 Ongoing capacity expansion to support volume growth ................................................... 12...

Price hikes taken during the quarter have been accepted and adequately offset near term cost inflation Industry demand remains healthy, growing at ~6-7% We remain positive on UltraTech Cement (UTCEM) amid adverse macro conditions as a) we believe price hike undertaken by cement industry is largely offsetting the cost inflation for the near term, b) incremental cost inflation would necessitate marginal price hike which would be taken in Q2FY27E, c) recent change in stance by peers is going to benefit UTCEM as it continues to march ahead with systematic capacity...

We attended Adani Annual Conference 2026, where they showcased the plan for Dharavi Redevelopment, the project covers ~600 acres in central Mumbai and impacts over 1 million residents, making it one of the largest urban regeneration projects globally. The project involves redevelopment of one of the world's most densely populated informal settlements into a modern mixed-use urban district. It is not merely as a...

Target doubling USD rev. & EBIT margin expansion by FY31 Expects AI to expand TAM to USD 2.3 tn despite deflation We attended LTM's Analyst Day, the company outlined a five-year strategic roadmap centred on AI-led business transformation, with management targeting a doubling of USD rev. by FY31 (implying ~15% USD revenue CAGR) and a 200bps EBIT margins expansion. The strategy is anchored on three pillars; Invest for (1) Growth, (2) Pivot and (3) Excellence. (1) Growth is expected to be driven by capturing addressable revenue (Platform-oriented and Business-AI-led services), reimagined horizontal service lines,...

PVs see strong growth in both domestic and export market Growth in 2Ws driven by scooters, EVs and exports Auto dispatches in May'26 saw sustained volume growth across most segments, although some sub-segments saw moderation. PVs reported growth in 20s, while 2Ws saw stable growth as most OEMs are in the midst of increasing capacities to meet the sustained retail demand while mitigating labor shortages, and disruptions in logistics and supply chain. CV industry reported mixed performance with subdued growth seen for MHCVs, while LCVs continued strong momentum. CV industry is expected to see...

This report reviews one year forward PE and market cap trends across major sectors in May'26, benchmarking current valuations against long term averages to assess sector positioning. Out of the 20 sectors analysed, 9 are currently trading below their long-term averages. Overall, May'26 valuations remain mixed. Industrial and cyclical sectors such as capital goods, cement, chemicals, automobiles, auto parts, textiles continue to trade above long-term averages, with defence and power among the most expensive pockets. On the other hand, sectors including IT, FMCG, hospitals, hotels, agro chemicals, building materials and real estate are trading below historical averages, offering relatively better valuation comfort, while retail remains the most undervalued. Consumer durables continue to appear expensive, pharma is broadly fairly valued, and metals, oil & gas and textiles trade moderately above averages, reflecting ongoing cyclical strength. Despite the moderation during the month, most sectors...

KNR Constructions (KNRC) reported another weak quarter, resulting in FY26 revenue declining ~38% YoY. Although order inflows improved materially to INR 35bn in FY26 (vs. INR 5bn in FY25), execution of these projects is expected to commence only from Q4FY27E. Additionally, the company secured fresh road orders worth INR 32bn in Q1FY27, taking the current order book to ~INR 119bn (~5x TTM revenue), providing strong execution visibility for FY28E and beyond. Management refrained from providing formal FY27 revenue guidance but indicated a standalone revenue target of over INR 20bn. EBITDA margins are expected to remain subdued at 1011%, reflecting...

NMDC reported inline Q4FY26 performance led by sharp recovery in volumes and higher contribution from NSL trading business. Cons. revenue grew 62% YoY driven by 21% YoY growth in iron ore sales volumes to 15.3mt. NSR remained strong on improved premiums and minor hikes taken during the quarter. NMDC sold higher quantities of HRC to support NSL which is not going to continue. Management maintained FY27E iron ore production guidance at 60mt and reiterated its long-term target of achieving 100mt capacity by 2030, supported by ramp-up of Deposit-4, Deposit-13 and EC extension across existing mines. Capex guidance for FY27 stands at ~INR60bn, while...

IPCA reported strong EBITDA of INR 4.9bn (up 19.6% YoY), 7% above our estimates. Company has guided strong revenue growth of 12-13% and 150 bps margin expansion in FY27. Our FY27 and FY28E EPS stand increased by 2-3% which factors in 11% revenue growth in FY27. Domestic formulation and branded generic business, which now contributes 46% of revenues and ~70% of EBITDA, continued to outperform and grow at healthy levels. We believe 1) recovery in API segment 2) higher margins ex Unichem 3) steady growth in domestic formulation are the key growth drivers. At CMP, the stock is trading at 14.5x EV/EBITDA and 23x PE on FY28E adjusted for Unichem stake. We...

We attended GREENP management meet, where management outlined its strategy to regain market share, improve utilisation levels and strengthen operational efficiencies across the MDF business. Management remains structurally positive on the Indian MDF industry, highlighting strong long-term demand potential driven by increasing substitution of plywood, particle board across furniture and interior applications. The company expects domestic MDF demand to grow at ~15% CAGR, while near-term supply additions are likely to remain gradual due to imported machinery dependence, elevated freight costs and supply-chain disruptions. Management also highlighted that...

We cut our EBITDA estimates by 8%/10% for FY27E/FY28E as we fine tune our top-line growth and margin assumptions after a weak show in 4QFY26. PARKHOTE IN reported a modest top-line growth of 3.6% YoY in 4QFY26 led by Flurys; while EBITDA margin declined to 28.8% (PLe 35.2%) as hotels revenue remained flat amid dip in occupancy by ~200bps. Nonetheless, after acquiring Zillion Hotels, Juhu during 2QFY26, buy-out of Malabar House, Fort Kochi and Purity, Lake Vembanad in Dec'25 we do not foresee any major delay in the near-term inventory addition plans. Further, as apartment sale at EM Bypass, Kolkatta has begun (29 units booked) cash flow cushion is in place...

exercise and loss of ITC amid change in GST rates, LEMONTRE IN's operational performance was noteworthy with EBITDA margin of 51.7% (PLe 50.2%). Nonetheless, as opex on renovation, technology investments and hit from GST is likely to be at 4.8%/3.7% of revenue, we expect EBITDA margin of 48.6%/49.5% in FY27E/FY28E respectively. Further, with no big-ticket inventory addition in near term (Aurika, NCR to begin operations in FY30E), we expect 8% revenue CAGR over FY26-FY28E led by inflation indexing and renovation led repricing in same-store RevPAR. Given modest growth prospects and evident margin headwinds, we cut our target EV/EBITDA...

Ingersoll-Rand India (INGR) reported a muted quarter, with revenue declined by -7% YoY to Rs3.0bn while EBITDA margin contracted by 285bps YoY to 23.0% due to higher other expenses. While underlying domestic demand for air compressors remains healthy across key industrial sectors, elongated customer decision-making cycles continue to delay order finalizations and revenue conversion. In addition, geopolitical uncertainties pose near-term risks to export volumes to the parent, limiting visibility on external demand. Nevertheless, the newly commissioned Sanand facility is expected to support future growth and improve manufacturing flexibility, backed by healthy...

Repositioning GWN from a product-led company to a solutions-led partner, focusing on application engineering, productivity enhancement and customer-specific solutions New product development is increasingly focused on EVs, semiconductors, electronics, aerospace, space and...

Order inquiries of Rs3bn was deferred due to uncertainties around raw material costs and supply chain disruptions, expecting these orders to reflect in FY27. FY26 capex stood at ~Rs650660mn including ~Rs200mn...

For Q1FY27 management expects growth broadly in line with previous year, with margins remaining stable For FY27 capex planned at ~Rs2bn, including ~Rs1.2bn for factory relocation and Rs700mn as maintenance capex ~3% price hike introduced in market to avoid hit on profitability amid commodity price increases We revise our FY27E/FY28E EPS estimates by +3.3%/+5.8%, factoring in the recent price hikes across key markets, normalization of tariff rates and a gradual turnaround...

We interacted with the management of Sammaan Capital (SCL) to discuss the company's strategic transformation following the investment by Abu Dhabi-based International Holding Company (IHC) of INR88.5bn. Management highlighted that IHC currently holds 28.5% stake (to reach 43.5% post conversion of warrants over 18 months) and the investment marks a significant inflection point for SCL through enhanced capital position, governance oversight and funding access while also supporting digital and AI-led operational capabilities. FY26 AUM stood at INR531.6bn and the company is transitioning from a wholesale lender to a diversified retailoriented platform with a focus on secured lending. With legacy stressed assets written...

The company reported strong order momentum with inflows of ~Rs67bn (inc Rs18bn order for bogies from parent) in Q6FY26 and a record backlog of ~Rs450bn Strong mobility execution led by the 9K HP locomotive programme; 40 locomotives dispatched, with ramp-up...

We revise our EPS estimates by +3.1%/+7.6% for FY27E/FY28E factoring in improving premium product mix in conductors, healthy demand visibility across conductors and cables, improving US traction supported by data centre and grid modernization investments, and higher growth capex across key businesses. Apar Industries (APR) reported 26.7% YoY revenue growth while EBITDA margin contracted by 93bps YoY to 7.9% (adj for one-offs) likely due to elevated freight and insurance costs, higher specialty polymer prices and supply chain disruptions arising from the Middle East conflict. Conductors' business continued to benefit from renewable evacuation,...