PCBL Chemical Ltd. share price target

Incremental capacities in place, volume led growth to follow PCBL after successfully commissioning a 56kT rubber black line it has augmented its effective carbon black capacity to ~4.9 lakh tonne in Q3FY19 from ~4.1 lakh tonne in FY17. Furthermore, the company is aggressively strengthening its specialty carbon black capacity by adding 15kT line in Q2FY20E and another 32kT line in Q4FY20E.Despite the incremental capacities in place production in FY19E is expected to reach ~4.11 lakh tonne, up ~2% YoY mainly due to maintenance shutdowns, one off events and change in product mix. However, given the tightness in domestic carbon black...

ICICI Securities Ltd | Retail Equity Research Phillips Carbon Black (PCBL) reported a steady Q3FY19 performance Net sales in Q3FY19 were at | 945.9 crore, up 54% YoY, primarily led by realisations that came in at | 90/kg vs. | 59/kg in base quarter (Q3FY18). Realisations were driven by an increase in crude price and consequent CBFS price amid rupee depreciation on a YoY basis Sales volume of carbon black in Q3FY19 were at 102 KT, up 1% YoY EBITDA in Q3FY19 was at | 178.8 crore with corresponding EBITDA...

Phillips Carbon Black Limited (PCBL) reported consolidated Q2FY19 sales at INR 880 cr up 47% YoY

Phillips Carbon Black (Phillips) reported strong improvement in EBITDA/tonne (+38% QoQ) to Rs16k/tonne on price hike (Rs 3k/tonne), better product mix and operational efficiencies. Although total volumes at 99k tonnes were slightly below our estimate, its specialty volumes grew to 6k tonnes (2k tonnes in Q1FY18). EBITDA rose 67.9% YoY and 46.7% QoQ to Rs1,659 mn (better than our estimate of Rs1,404 mn). Net profit jumped...

Phillips Carbon Black Limited (PCBL) reported consolidated Q1FY19 sales at INR 781 cr up 33% YoY driven by price hike taken for tyre customers and increased sales of high end specialty carbon black

Further to our Research report dated October 27th 2016, wherein we had recommended a BUY at the then price of Rs. 51.50(Split adjusted), the share price had reached its all time high to Rs. 318.98 increased by ~500% in January 2018. The company has been steadily moving towards new highs with strong financial outlook. On the back of robust...

Outlook: We believe Phillips is likely to be a key beneficiary of shortage of carbon black in India. Further, management's strategy of increasing its volumes in favour of high margin specialty products is likely to drive 23%/32% in EBITDA/PAT over FY1820E. We maintain our BUY rating on the stock with a revised target price of Rs348...

Net sales in Q4FY18 were at | 753.0 crore, incorporating 5% YoY volume growth with carbon black (CB) sales volume at 103 KT Carbon black realisations for Q4FY18 were at US$1087/tonne (| 70.6/kg) vs. US$805/tonne (| 54.0/kg) in Q4FY17 EBITDA in Q4FY18 was at | 102.0 crore with corresponding EBITDA margins at 13.5%. EBITDA/tonne in Q4FY18 was at | 9903/tonne Margins came in a tad lower primarily tracking the management's accounting approach of expensing out the de-bottlenecking exercise...

Phillips Carbon Black Limited (PCBL) reported consolidated Q4FY18 sales at INR 753 cr up 37% YoY driven by higher realisation from pass through of CBFS prices (up ~23% YoY) in rubber carbon...

ICICI Securities Ltd | Retail Equity Research Phillips Carbon Black (PCBL) has executed a stock split in the ratio of 1:5 i.e. existing one share of PCBL (priced at | 1128 as of April 18, 2018) of face value | 10/share is sub-divided into five equity shares (priced at | 236 as of April 19, 2018 opening) of face value | 2/share. The record date for the same is April 20, 2018 while the ex-date for the same is today i.e. April 19, 2018. Consequently, incorporating the stock split, we revise our target price to | 340/share, offering a healthy upside 44% from the current level....