Sterlite Technologies Ltd. share price target

GE T&D;'s Q3 order inflow was lower 30% YoY to Rs 7.8 bn and order backlog was down 12% YoY to Rs 72 bn. Company won major orders from Sterlite Power and Gujarat Transco during Q3.

Sterlite Technologies (SOTL) reported Q3 sales of Rs 8.3 bn, up 14% YoY. 60% of revenue came from exports (mostly China and Europe) which grew 78% YoY. EBITDA margin expanded ~500 bps to industry best of 24% on higher mix of product revenue

EBITDA came in at | 209.5 crore (I-direct estimate: | 187.7 crore), with EBITDA margin of 24.1%, ahead of our estimate of 21.8%. The EBITDA beat was largely led by superior product segment growth,...

Sterlite Tech reported robust set of numbers in Q3 FY18 driven by increase in data consumption in the domestic as well as in the international market, which drove the demand for optic fiber. Sterlite Tech reported revenues of INR 8,352 Mn, up by 14.0% YoY which is primarily driven by increase in exports to international market from INR 3,974 Mn in Q2 FY18 to INR 5,011 Mn in Q3 FY18, an increase of 26.1% QoQ. Q3 FY18 operating margins stood at 18.8% vs Q2 FY18 margins of 16.4%, the margin has improved on the back of decline in one-off expenditure coupled with strong execution on the operations front. Order book remains robust at INR 45,730 Mn, up 19.3% qoq and 71% YoY. The order book...

Revenues came in at | 779.3 crore, up 41.5% YoY (a tad lower than our estimate of | 809 crore. While the company has discontinued providing OF/OFC sold volume data/ and product/services break-up in the quarter, we believe the topline beat is owing to superior exports...

Revenues came in at | 744.4 crore, up 23.4% YoY and higher than our estimates of | 701.5 crore. While the company has discontinued providing the OF/OFC sold volume data/and product/services breakup in the quarter, we believe the topline beat is owing to superior exports (product) revenues that grew 76.8% YoY to | 320 crore EBITDA was at | 157.1 crore, up 37.5% YoY, in line with our estimate of | 157.8 crore. Margins, however, were lower than expected at 21.1% vs. expected 22.5% due to higher employee expense PAT at | 60.6 crore (vs. estimated | 60 crore) wad aided by superior...

Revenues came in at | 707.2 crore, up 15.2% YoY and higher than our estimate of | 693.5 crore. The company has discontinued sharing OF/OFC sales volume data but the superior margin profile in the quarter hints at good ramp up from the products segment EBITDA came in at | 162.4 crore, up 23.0% YoY and above our...

The SOTL stock has doubled since we initiated coverage in Sept' 16. We are now more bullish on the stock than before given the prospects of the Optic Fiber (OF) business and the opportunities in the System Integration (SI) business. We raise our TP by 65% to street-high Rs208 valuing it on 25x PER FY19E. We foresee strong revenue visibility for the SOTL's OF business till FY19 on account of mounting fiber demand in China, Europe and the US. The company's ongoing OF...

Sterlite Technologies Limited designs, builds and manages smarter networks. STL is a pure play telecom focussed business that develops & delivers optical communication products, network & system integration services and software solutions for telecoms globally. STL is among the leaders in all its business areas and has operations on a global scale with manufacturing presence in India, China and Brazil. STL is India's only fully integrated provider of optical fibre preforms, optical fibres and cables. With a strong portfolio of over 125 patents and projects undertaken by the company include intrusion-proof secure network for the Armed Forces, rural broadband...