Gokaldas Exports Ltd. share price target

Gokaldas Exports’ (GEXP) Q3FY23 consolidated EBITDA at Rs632mn (up 7% YoY) was above consensus expectations. Revenues at Rs5.2bn were flat YoY (down 9% QoQ) due to soft demand scenario in the company’s end-market (US). Flat revenue growth was in line with similar growth in Indian apparel exports in Q3FY23.

Gokaldas Exports (GEXP), under its new management (since FY18), has witnessed significant changes including marquee client additions, richer product mix, higher margins, etc., leading to robust shareholder returns.

Under the leadership of the new MD (post exit of Blackstone in FY18), Gokaldas has scripted a successful turnaround of its business operations Q3FY22 Results: GEL reported its best quarterly performance driven by healthy demand for apparels in the US apparel market. On a QoQ basis, the company maintained its gross margin levels at 49.7% (down 560 bps YoY). Despite higher opex, GEL delivered strong EBITDA...

The company maintained its gross margins at ~50% (up 140 bps YoY). On account of positive operating leverage and foreign exchange gain, GEL reported one of its highest EBITDA margins of 11.7% (up 285 bps YoY) NWC days increased to 90 days in Q2FY22 (vs. 85 days in FY21) due to...

KPR Mill is among select vertically integrated textile players in India having one of India' largest knitted garment manufacturing capacity of 157 million pieces. It has two major capex projects in the pipeline worth | 750 crore towards garmenting facility (| 250 crore) and ethanol facility (| 500 crore)...