Exide Industries Ltd. share price target

Exide Industries (EXID) beat revenue estimates with growth of 13% YoY (est.9%) to Rs17.3bn.Gross margins beat estimates by contracting only 27bps YoY (up 113bps QoQ) to 40% (est. 37.1%). But a steep rise in other expenses (up 224bps YoY) resulted in EBITDA margins falling 229bps to 13.3%(est. 14.2%)Despite a 30% YoY increase in depreciation, APAT rose 9% to Rs1.51 bn (est. Rs1.39 bn), on gains in other income and a 584bps YoY fall in the tax rate. We remain positive on the prospects of the battery segment with its favourable structural dynamics and strong growth outlook. However, we believe Exide's competitive challenges remain significant and its mediocre RoEs are likely to endure. We retain our 11x EV/EBIT multiple on the...

Exide 3Q APAT at Rs 1.52bn ( 13% YoY, -17% QoQ) is above our estimates by 8%, however, a large fraction of the beat was driven by higher other income and lower tax expenses. Given the healthy traction in replacement sales and better UPS and solar batteries demand, the net revenue jumped by 13.4% YoY to Rs 17.2bn. EBIDTA margin contracted to 13.3% as other expenses rose sharply to 19.3% ( 480bps YoY).

ICICI Securities Ltd | Retail Equity Research Exide Industries' (EIL) Q3FY17 revenues grew 12.6% YoY to | 1,729 crore vs. our estimate of | 1704 crore. According to the management, growth in replacement sale of 4-W & 2-W batteries continues to be encouraging. However, demand in the OEM business (particularly 2-W batteries) was extremely sluggish. Growth in UPS and solar batteries has shown an improvement in Q3FY17 EBITDA margins contracted 229 bps YoY & 190 bps QoQ to 13.3%...

Growth intact amid cloudy conditions; maintain BUY Exide Industries posted Q3FY17 results with revenue at Rs.17.3 bn, a growth of 13.4% / -10.3% YoY/QoQ, respectively, on account of continued growth in replacement sale of Automotive and Motorcycle batteries. EBITDA for the quarter shrunk by 2% YoY to Rs. 2.3bn and margin contracted by ~ 209 bps / 190 bps to 13.3% vs 15.4% / 15.2% YoY / QoQ respectively. Reported PAT stood at Rs. 1.5 bn, ~13.1% YoY...

As per the management, the demand for both Automotive and industrial battery has shown improvement during the last quarter. At the same, growth in Automotive and Motorcycle battery replacement sale has continued along with improvement in volume of OEM business...

Results: For Q2FY17, Exide Industries (EXID) reported a good set of numbers in line with estimates. Revenue rose 10% YoY to Rs19.2 bn vs our estimate of Rs19.1 bn. EBITDA margins increased 55bps YoY to 15.2% (7bps lower than est.), on the back of a 105bps expansion in gross margins to 37.3%. PAT rose 17% to Rs1.82 bn (est. Rs1.82 bn), as a 95bps fall in tax rates along with higher other income (up 1.2X) offset a 34% increase in depreciation. Review: The company's results were positive (in line with expectations), as gross margin expansion continued on lower lead prices (assuming 1 quarter lag). However, lead prices have been rising and are likely to impact Exide in H2FY17. Growth of 10% has been a positive, with the...

ICICI Securities Ltd | Retail Equity Research Exide Industries' (EIL) Q1FY17 revenues were marginally below our estimates though margins & PAT were above our expectations. Revenues increased 10.5% YoY to | 1,929 crore vs. our estimate of | 1964 crore. The demand for both automotive & industrial battery has shown improvement. Growth in the sale of automotive & motorcycle replacement battery segment continues, along with improvement in volume of OEM business during the quarter...

Exide Industries (Exide) Q2FY17 performance was broadly in line with our estimates. Its Revenue/EBIDTA/PAT grew 10.5%/14.7%/17% YoY, but declined 4.1%/7.1%/7.5% QoQ to Rs 19.3bn/2.9bn/1.8bn (our estimate of Rs 19.65bn/3bn/1.89bn) respectively.

ICICI Securities Ltd | Retail Equity Research Exide Industries (EIL), the market leader in the automotive battery space (market share >60%), is well placed to cater to the rising automotive demand. The positive impact of Seventh Pay Commission & normal monsoon is clearly visible in the strong OEM volume YTD growth of 11.9% YoY. We believe EIL is one of the preferred battery suppliers to major OEMs in India with a very strong relationship over the years. Further, assuming a three phase replacement cycle, we expect the...

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