TVS Motor Company Ltd. share price target

TVS Motor Company has entered into a tie-up with Snapdeal. The company hopes the platform will clock over $2 billion in sales over the next two years. The company will invest around ~300 crore on new products and capacity expansion in 2016-17.

Background: TVS Motors (TVSM), formerly known as TVS Suzuki, is the flagship company of TVS group with FY15 revenues of INR 103bn and the fourth largest two wheeler manufacturer in India. TVS has manufacturing facilities in Hosur, Mysore, Himachal Pradesh and Indonesia with a production capacity of 3mn. The product portfolio of TVS encompasses motorcycles (40%), mopeds(20%), scooters (22%), 3 Wheelers (6%) and Spares & Others(12%). TVS exports its products to over 50 countries and derives ~12% of revenues from exports. The market share across various segments are: Motorcycles (6%), Scooters (15%), Mopeds (100%) and 3 Wheelers (22%). In...

AEPS stood at Rs2.6 v/s our estimate of Rs2.7 Net sales increased by 10.8% yoy to Rs29.4bn (est. Rs29.3bn) and reported EBIDTA increased by 26.3% yoy to Rs2.02bn. Excluding the non-recurring item of Rs48.8mn (provision for employee bonus) and Rs75mn (flood in Chennai), the AEBIDTA stood at Rs2.14bn (est. Rs2.26bn). AEBIDTA margin at 7.3% (REBIDTA margin 6.9%) came lower than our expectation of 7.7% due to higher than expected other expenses. With this, reported PAT increased by 19.4% yoy to Rs1.08bn. However, on adjusting the (1) exceptional item of Rs56.8mn (the provision of bonus for FY15) (2) One off expense of Rs75mn due to expenses...

Background: TVS Motors (TVSM), formerly known as TVS Suzuki, is the flagship company of TVS group with FY15 revenues of INR 103bn and the fourth largest two wheeler manufacturer in India. TVS has manufacturing facilities in Hosur, Mysore, Himachal Pradesh and Indonesia with a production capacity of 3mn. The product portfolio of TVS encompasses motorcycles (40%), mopeds(20%), scooters (22%), 3 Wheelers (6%) and Spares & Others(12%). TVS exports its products to over 50 countries and derives ~12% of revenues from exports. The market share across various segments are: Motorcycles (6%), Scooters (15%), Mopeds (100%) and 3 Wheelers (22%). In...

TVS Motors (TVS) reported strong 2QFY16 result even after the flat volume growth. Revenue was at Rs 28.8 bn, a growth of 7% YoY led by 7% YoY growth in realization. EBITDA margin stood at 7.4% vs...

TVS Motor's (TVSL) Q2FY16 performance was way above our as well as street estimates. Company's Revenue/EBIDTA/PAT grew by 8%/28%/23% YoY and 10%/29.5%/29% QoQ to Rs 28.8bn/2.1bn/1.16bn, as against our estimate of Rs 28.3bn/1.8bn/1bn in Q2FY16 respectively. Its volume growth was 0.2%YoY/6.3% QoQ to 678,718 units, while average realization improved by 8% YoY, benefitted by favourable currency and price hike over last one year. TVS recorded highest quarterly margins in last five years, its EBIDTA margin expanded 116 bps YoY/ 111 bps QoQ to 7.4%, as its RM/Sales fell 221bps YoY/ 71bps QoQ to 71.3%.

TVS Motors (TVS) reported strong 1QFY16 result with revenue growth of 13.7% /6.7% YoY/QoQ respectively to Rs 26.2bn led by 9% YoY volume growth and 7.5% YoY realization growth. EBITDA...

TVS Motor's (TVSL) Q1FY16 performance was below our as well as street estimates. Company's Revenue/EBIDTA/PAT grew by 14%/24%/25% YoY and 6.7%/1.5%/(10%) QoQ to Rs 26.2bn/1.6bn/0.9bn, as against our estimate of Rs 26.5bn/1.8bn/1bn in Q1FY16 respectively. Its volume growth was 9%YoY/5.6% QoQ to 638,115 units, while average realization improved by 4.5% YoY, benefitted by favourable currency.

Background: TVS Motors (TVSM), formerly known as TVS Suzuki, is the flagship company of TVS group with FY15 revenues of INR 103bn and the fourth largest two wheeler manufacturer in India. TVS has manufacturing facilities in Hosur, Mysore, Himachal Pradesh and Indonesia with a production capacity of 3mn. The product portfolio of TVS encompasses motorcycles (40%), mopeds(20%), scooters (22%), 3 Wheelers (6%) and Spares & Others(12%). TVS exports its products to over 50 countries and derives ~12% of revenues from exports. The market share across various segments are: Motorcycles (6%), Scooters (15%), Mopeds (100%) and 3 Wheelers (22%). In...

Background: TVS Motors (TVSM), formerly known as TVS Suzuki, is the flagship company of TVS group with FY15 revenues of INR 103bn and the fourth largest two wheeler manufacturer in India. TVS has manufacturing facilities in Hosur, Mysore, Himachal Pradesh and Indonesia with a production capacity of 3mn. The product portfolio of TVS encompasses motorcycles (40%), mopeds(20%), scooters (22%), 3 Wheelers (6%) and Spares & Others(12%). TVS exports its products to over 50 countries and derives ~12% of revenues from exports. The market share across various segments are: Motorcycles (6%), Scooters (15%), Mopeds (100%) and 3 Wheelers (22%). In...