TTK Prestige Ltd. share price target

ICICI Securities Ltd | Retail Equity Research TTK Prestige reported revenue growth of 7% YoY to | 498.9 crore vs. our estimate of | 554 crore. Domestic sales grew 9.4% YoY while exports continued their subdued performance by registering degrowth of 35% YoY to | 8.4 crore. On a like-to-like basis (LFL), effective TTK's sales growth was at 14% YoY EBITDA margins for the quarter came in at 14.3% (I-direct estimate: 12.3%, Q3FY17: 11.9%). The significant improvement in EBITDA margins was on account of enhanced product mix (higher ticket size...

ICICI Securities Ltd | Retail Equity Research Consolidated revenues for Q2FY18 grew 11.2% YoY (after adjusting for excise duty in the previous quarter) to | 545.1 crore vs. our estimate of | 605.5 crore. Growth was mainly driven by domestic sales (up 16.7% YoY) owing to an improvement in consumer...

ICICI Securities Ltd | Retail Equity Research TTK Prestige announced the launch of leading UK brand JUDGE' kitchen appliances in India. The range of Judge appliances will offer affordable kitchen solutions across Tier 3, 4 and 5 cities in India. Products will be manufactured at the existing factories in India and be retailed at all retail formats, including traditional outlets, leading modern retail formats and ecommerce platforms. The brand would address the lower price point products, which would cater to a new segment of unorganised kitchen appliance market, which is estimated to be worth | 5000 crore....

Q1FY18 standalone net sales came in at Rs 3.5 bn, up 3% YoY, (below estimate of 10% YoY) on destocking in the primary trade channel on transition to GST. TTK indicated sales in April and May cumulatively grew 12.5% YoY, while it de-grew in June by 11% YoY.

Consolidated revenues came in at | 383.7 crore vs. our expectation of | 402.1 crore. Standalone revenues grew 3.3% YoY to | 357.5 crore (I-direct estimate: | 374.5 crore). The subdued revenue growth was mainly on account of de-stocking by trade channels prior to GST implementation. The company registered cumulative 12.5% growth in April-May. However, due to GST disruption, revenues for June declined 11.2% YoY dragging overall revenue growth down for the quarter. In segments per se, cookers and appliances segment...

Q4FY17 net sales grew 22% YoY (estimate: 15% YoY) at Rs 3.6 bnon strong growth revival in pressure cookers (37% of sales) and cookware (17% of sales) segments.

ICICI Securities Ltd | Retail Equity Research TTK Prestige's (TTKP) consolidated Q4FY17 results were above our estimates on the revenue and profitability front. Consolidated revenues came in at | 397.5 crore vs. our expectation of | 376.1 crore. Standalone revenues grew 21.8% YoY to | 366 crore (I-direct estimate: | 350 crore). The revenue beat was driven by health growth in domestic sales (up 23% YoY) to | 372 crore. Exports declined 14% YoY to | 10.6 crore albeit on a smaller base...

Q3FY17 sales at Rs 4.2 bn, down 2% YoY,was below our/consensus expectation, as demonetization hit demand across all product categories in November, which is the peak festive/wedding season. While October/Dec posted strong sales growth at 25%/17% YoY, Novembersaw a steep decline.

TTKPT broadly operates under 3 major segments - Pressure Cooker & Pans, Non-stick Cookware and Kitchen Electric Appliances. TTKPT enjoys high brand recall and they spend ~7.2% of their annual sales for brand building and promotional activity, which enables them to dominate most of the segments in which they operate. TTKPT has a market share of ~60% in the outer-lid pressure cooker, ~15% in inner-lid pressure cooker within the organised market and in Induction cook-top space they enjoy a market share of about ~25%. 80% of sales are from products introduced in the last 3 years. TTKPT has network of 30,000 dealers in India. They...

ICICI Securities Ltd | Retail Equity Research TTK Prestige's (TTK) consolidated Q3FY17 results came in below our estimates. Consolidated revenues came in at | 467.5 crore vs. our expectation of | 509.6 crore. Standalone revenues de-grew 2.1% YoY to | 428.2 crore (down 7.6% QoQ). The cookware segment reported a decline of 7.6% YoY to | 79 crore whereas appliances and...