Finolex Industries Ltd. share price target

Battered by rising EDC prices (with adverse effect on PVC/EDC delta) , margins on its flagship PVC resin business nosedived to 16.2% fin Q3 from 18.5% In the same period a year ago - 29.5% in Q2 - resulting in just 11.3% growth in PBT . Yet not imperceptible rise in margins in PVC pipes & fittings segment saved blushes for the overall OPMs expanded by some 80 bps. Restoration of price cuts undertaken in PVC pipes business...

Finolex Industries Ltd (FIL) is positive on PVC pipes demand in the longer run and believes that GST would be positive for the organized players. The company is expanding its capacity every year in order to achieve double...

Finolex Industries (FIL) Q2FY19 results were a strong beat to our estimates mainly led by robust PVC-EDC spread and strong volume growth from PVC Resin segment. Revenue increased 14.2% YoY to Rs5,426mn driven by change in product mix which led to higher realizations, EBITDA was up by 152% YoY to Rs1,249mn and PAT was up 170% YoY to Rs764mn. PVC resin volume grew 7.2% YoY to 43,461MT whereas PVC pipes and fittings volume declined 4.2% YoY to 45,272MT mainly due to weaker agri-sales. We expect PVC-EDC delta to come off from average of US$641/MT in Q2FY19 which may have a negative impact on margins. We expect its revenue/EPS to grow at a CAGR of...

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Finolex Industries (FIL) came out with strong operating performance in Q1FY19 led by PVC-EDC spread and strong performance from PVC Pipes & Fittings segment. Revenue increased 13% YoY to Rs8,278mn, EBITDA was up by 48% YoY to Rs1,939mn and adjusted PAT was up 64% YoY to Rs1,312mn owing to higher other income which was up by 255% YoY to Rs137mn. PVC resin volume declined 9% YoY to 68,454MT while PVC pipes & fittings volume rose 8.6% YoY to 77,636MT. We expect its revenue/EPS to grow...

Finolex Industries Ltd. (FIL) is India's leading manufacturer of PVC Pipes & Fittings and the third largest PVC Resin manufacturer. Headquartered in Pune, FIL operates through its state of the art manufacturing plants located in Pune, Ratnagiri in Maharashtra and Masar in Gujarat.FIL operates in 2 key business segments- a) PVC pipes and fittings wherein it offers manufactures a wide range of products catering to the agriculture and non-agriculture sectors. & b) PVC resin the company manufactures PVC resin providing consistent raw...

We have reduced SOTP TP to Rs 801 (vs. Rs 912) including value for investment in Finolex Cables 4QFY18 was again a muted quarter for Finolex Industries (Finolex); net revenues stood at Rs 8.09bn (-8.8% YoY). Gross margins improved by 777bps YoY to 41.0% due to better PVC-EDC spreads and inventory gains in line with rising crude prices. This drove up EBITDA margins by 311bps YoY to 23.2%.

Finolex Industries Ltd. (FIL) has reported Q4FY18 revenues at INR 709cr de-grew ~9% y-o-y (adjusting for excise taxes), below our estimates, due to de-growth in Pipe & fittings sales by (2.2)% y-o-y.

Strong pipes & fitting business volume growth; Positive delta lifts profits PVC pipes & fittings volume rose 12% YoY to 71,759MT while resin volume declined 6% to 72,123MT. Further, PVC resins margin expanded 388bps YoY to 24.5% due to positive PVC-EDC spread. Consequently, EBITDA margin improved 312bps YoY to...

Various Government of India sponsored schemes of a motley of outlay and focus - from PMAY which centers on both subsidized rural and urban housing to AMRUT that focuses on strengthening urban infrastructure including water supplies to PMKSY that lays impetus on irrigation sector to Swachh Bharat Mission that mainly emphasizes on building toilets in rural and urban areas. All these schemes not only patently boost demand for both agri and non-agri pipes but also help migration of value added products cpvc products case in point. Unbridled demand for pvc resin in India largely emanating from irrigation...