Finolex Industries Ltd. share price target

Finolex Industries' (FIL) Q3FY21 revenue/EBITDA/PAT grew 52.6%/152%/186% YoY (significantly higher than our as well as street estimates)

Finolex Industries' (FNXP) Q3FY21 revenue grew 53% YoY, aided by a 15% rise in PVC resin volumes while pipe volumes increased 5%.

V-shaped recovery in global PVC resin prices since May with corresponding surge in PVC/EDC delta (above long term average of $550600/mt) explains much of the rise in Finolex's PVC resin EBIT in Q2 - Rs 99.10 crs Vs Rs 45.13 crs in the same quarter a year ago.; though external sales (volumes) fo PVC resins rose by just 38.1% to 9665 tons. As indication of its barely subdued impact, Finolex's PVC resin realizations were at $920 / mt compared to $740/ton in Q1 while PVC/EDC delta stood at $653/mt compared to $547/mt in Q1. Supply constraints of PVC resins have...

Finolex Industries Ltd. (FIL) reported another strong quarterly performance in a seasonally weak quarter for agri-pipes. Lower PVC resin supply in domestic market created demand-supply mismatch, which led to higher sales volume and improved realization for FIL in its PVC segment. Net sales increased by 1.6% YoY to Rs5.8bn, while EBITDA came in at Rs1.4bn, a robust growth of 76.5% over Q2FY20. The company reported net profit of Rs1.2bn, up by 20.1% YoY. The management remains focused on increasing share of non-agri products and fittings to support sales growth as well as margin expansion in future. We have fine-tuned our net sales/PAT estimates for...

Finolex Industries' (FNXP) Q2FY21 revenue grew 2% YoY, aided by a 15% rise in PVC resin volumes while pipes declined 9%.

Finolex Industries (FIL) reported a strong set of Q2FY21 earnings as the company reported growth of 1.6%/76.5%/21% in REVENUE/EBITDA/PAT on a y-o-y basis.

Finolex Industries Ltd.'s (FIL) Q1FY21 result was ahead of our estimates on all parameters. Despite business loss in April and early monsoon in June, the company's Q1FY21 performance, particularly on EBITDA margin front, is commendable. Net sales declined by 40.4% YoY to Rs5.6bn, while EBITDA came in at Rs882mn, down by 28.6% YoY. The company reported net profit of Rs567mn, declined by 23.8% YoY. FIL's focus on new products development, strong brand recall for its products, extensive distribution network and backward integrated operation of PVC resin bodes well for its future growth. We broadly maintain our net sales/PAT estimates for FY21E/FY22E. Maintain...

Finolex Industries' (FNXP) Q1 revenue declined 40% YoY, with volumes sliding 42% in both PVC pipe and resin segments amid the lockdown.

Key takeaways from our recent interaction with the management of Finolex Industries (FNXP): (1) FNXP witnessed healthy demand for agricultural pipes in May and June following easing of the nationwide lockdown.

Finolex Industries Ltd.'s (FIL) Q4FY20 result was marred by lower volume off-take amid COVID-19 pandemic. The company's plants and business was completely shut down from March 23, 2020, which led to muted performance in otherwise a seasonally strong quarter. Net sales declined by 20.5%YoY to Rs7,661mn, while EBITDA came in at Rs1,041mn, down by 29%YoY. The company reported net profit of Rs587mn, declined by 37.2%YoY. On a positive note, plant operations have gradually started from April end and demand outlook remains healthy, particularly on agri-pipes segment. We like FIL's extensive distribution network, healthy market share in pipes segment and...