Balkrishna Industries Ltd. share price target

ICICI Securities Ltd | Retail Equity Research Balkrishna Industries' (BIL) revenues grew 18.9% YoY to | 1,325 crore (vs. estimate of | 1,424 crore). Volumes grew 6.1% YoY to 52,339 metric tonnes (MT) (vs. expectation of 56,237 MT) EBITDA increased 9.1% YoY to | 333 crore vs. our expectation of | 411 crore. EBITDA margins came in at 25.1% (down 226 bps YoY & 115 bps QoQ) below our estimate of 28.8%, mainly due to higher other expense that increased 548 bps YoY & 167 bps QoQ...

Balkrishna Industries (BIL) reported standalone revenues of Rs 13.3bn (+19% YoY) in Q2FY19, led by a 6% rise in tonnage volumes and higher realisations. EBITDA/adj. PAT grew 9%/10% YoY to Rs 3.3bn/Rs 2.2bn. Management reduced its FY19 sales volume guidance by 4-7%, citing a temporary slowdown in European markets due to drought. We pare FY19-FY21 earnings marginally to factor in lower volumes in FY19 and a slight increase in tax rate, translating...

We met the management of Balkrishna Industries (BIL) to discuss the company's capital expansion plans. Key takeaways: Capex of Rs 27bn planned over three years, US plant to enhance branding, US operations unlikely to be...

ICICI Securities Ltd | Retail Equity Research The Board of Directors of Balkrishna Industries (BIL) has approved a capex outlay of ~| 1,700 crore, which will be completed over 30 months. Of the total capex, 1) | 700 crore is for setting up a greenfield tyre plant with capacity of 20,000 MT in US, 2) | 500 crore will be spent in Waluj where BIL will replace the existing plant with a new state-of-the-art facilities (co-generation plant & warehousing facilities) that will bring operational efficiencies to existing operations and 3) | 500 crore is...

Balkrishna Industries Ltd is in the Tyres sector, having a market capitalization of Rs. 25,953.80 crores.

Sector: Auto Ancillaries /Mid-Cap | Earnings Update 1QFY19 Background: Balkrishna Industries (BIL) is focused solely on 'off-highway' tyres catering to agricultural & industrial segments. A low ~5% share of the global market makes us believe reasonable room exists for several years of growth. While OTR forms ~65% of the global market, for BIL, it only contributes ~33% to its revenue. With the completion of the new 140,000 MT facility at Bhuj, BIL is looking to expand in the OEM, OTR segments. The company has been undertaking vari ous actions like setting up warehouses in markets in North America and Europe to be closer to the customer and have a just in time (JIT) system. The company sales to over 130 countries through Distribution network in Americas, Europe, India and Rest of the world. BIL has also strong partnership with OEMs. Mining tyres accounted for 13% of the company's revenue in FY18....

ICICI Securities Ltd | Retail Equity Research Balkrishna Industries' (BIL) revenues came in at | 1,362 crore (up 34.5% YoY) vs. our estimate of | 1,285 crore. This was mainly due to volumes growing 23% YoY to 56,754 metric tonnes (MT) (above our expectation of 54,203 MT for the quarter) EBITDA margins came in at 26.2% (up 490 bps YoY, 225 bps QoQ) above our estimate of 26.1%. On a QoQ basis, raw material cost increased, resulting in gross margin contraction of 27 bps QoQ....

Volume Figure Exceeds Management Guidance: Balkrishna Industries Ltd (BIL) sold 56,754 MT of tyres during Q1FY19 posting a 16.6% YoY growth which led revenue to grow at 21.6% recording Rs. 13624 Mn.

Balkrishna Industries (BKT) has highlighted the importance of distribution reach and higher number of SKUs to sustain volume growth momentum. Focus will also be on the backward integration through carbon black plant...

ICICI Securities Ltd | Retail Equity Research Balkrishna Industries' (BIL) revenues were at | 1,232 crore (up 22.8% YoY) vs. our estimate of | 1,135 crore after volumes grew 17% YoY to 54,002 metric tonnes (MT) (vs. our expectation of 50,764 MT) EBITDA margins came in at 24% (down 147 bps YoY & 222 bps QoQ) vs. our estimate of 28.4%. Higher raw material cost impacted the gross margin that contracted 94 bps QoQ while employee & other expense increased 4 bps QoQ & 124 bps QoQ, respectively...