PCBL Chemical Ltd. share price target

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....

Phillips Carbon Black Limited (PCBL) reported consolidated Q3FY18 sales at INR 612 cr up 26% YoY driven by pass through of higher CBFS prices in rubber carbon black and increased sales of high...

Capacity expansion plans updated: The company remains on-track to add 30 kt capacity by FY18 and another 48 kt by FY19 with a total capex of Rs3,000 mn. Further, the company has now raised its capacity expansion plan for high-margin specialty carbon black from 24kt earlier to 56kt by FY19. Accordingly, we have raised our FY18/FY19 EBITDA/PAT to account for higher volumes and better realizations given rising supply constraints (on shortage of raw material, coal tar in China). Outlook: While Phillip's fund-raising plans may dilute its EPS in the near-term and will be a key overhang on the stock in the near-term, nevertheless, we believe its...

Phillips Carbon Black Limited (PCBL) is the largest producer of carbon black in India (37% market share) and the seventh largest worldwide. The company is expected to be a major beneficiary of...

ICICI Securities Ltd | Retail Equity Research Phillips Carbon Black (PCBL) is the largest manufacturer of carbon black (market share ~40%), which is used as a reinforcement material in manufacturing tyres (constitutes ~23% by volume) PCBL has successfully turned around its operations & is now clocking healthy ~16% EBITDA margin with core return ratios (RoE, RoCE) in excess of 25% (FY18E-20E), thereby traversing into a different orbit altogether vs. perception of a commodity play in the past...

ICICI Securities Ltd | Retail Equity Research Phillips Carbon Black (PCBL) reported another stellar performance in Q2FY18. Net sales for the quarter were at | 597.6 crore, up 30% YoY largely tracking increase in realisations amid 3% volume growth (capacity constraints, operated at 96% utilisation) Carbon black (CB) sales volume in Q2FY18 was at 1 lakh tonne with domestic volumes at 76 kilo tonne (KT) & export volumes at 24 KT EBITDA in Q2FY18 was at | 94.6 crore with corresponding EBITDA...

We raise our FY18/19 sales/EBITDA/PAT estimates to factor in strong Q2FY18 results and improved outlook; Maintain Buy with a target price of Rs1,130. Key Highlights and Investment Rationale Margin improvement continues: Phillips has reported higher EBITDA/tonne in each of the last five quarters on rising volumes, better product mix and efficiency gains....

Phillips Carbon Black (PCB) is the largest manufacturer of carbon black in India (46% market share by capacity) and seventh largest in the world. Rising tyre demand in India alongside production curbs in China (lower supplies) provide strong visibility on volume growth/margins for PCB. We expect PCB's sales/EBITDA/net profit to grow at a CAGR of 14.5%/30.5%/93.4% over FY17-19E. Its net debt to EBITDA to improve from 2.6x in FY17 to 1.3x by FY19; return on equity is likely to improve from 6.5% in FY17 to 18.5% in FY19. Given...