Greenply Industries Ltd. share price target

Greenply Industries (MTLM) reported consolidated revenue growth of 5.0% YoY in Q1FY24, with India plywood business growing 4.4% YoY while plywood volume grew 1.6% YoY (4-year CAGR of 4.7%) and realisation was up 2.9% YoY. Consolidated EBITDA margin contracted 258bps YoY to 6.3% due to EBITDA loss of INR 73mn in MDF segment (which commenced operations in May’23), while India plywood EBITDA margin was flat YoY (due to higher A&P spend despite gross margin expansion of 320bps YoY).

Greenply Industries (MTLM) reported consolidated revenue growth of 4.6% YoY (4-year CAGR 4.6%) in Q4FY23, with India plywood business (including Sandila subsidiary) growing at 3.1% YoY while plywood volumes were flat YoY (4-year CAGR of 2.2%).

Greenply Industries (MTLM) reported a tepid consolidated revenue growth of 1.7% YoY (3-year CAGR 7.4%) in Q3FY23, on a high base, with India plywood business (standalone & Sandila) growing at 8.7% YoY, while plywood volume was flat YoY (3- year CAGR of 3.7%). Consolidated operating margin declined 257bps YoY to 7.6%, as India plywood operating margin contracted ~90bps YoY and Gabon operations margin declined ~880bps YoY (due to slowdown in European demand) resulting in EBITDA/PBT decline of 24%/45.6% YoY.

Consolidated Q2 revenue grew 14% YoY on a 7% increase in volumes and 6% higher realisations in India plywood operations

Greenply Industries (MTLM) reported better than expected consolidated revenue growth of 14.4% YoY with standalone India plywood business growing at 14.8% YoY (3-yr CAGR of 7.7%) aided by volume growth of 6.9% YoY (3-yr CAGR of 3.9%) on a high base YoY.

Greenply Industries (MTLM) reported better than expected consolidated revenue growth of 73.9% YoY with standalone India plywood business growing at 85% YoY (3-
year CAGR of 8.9%) aided by volume growth of 79% YoY (3-year CAGR of 5.7%) due to
low base.

Consolidated Q1 revenue grew 74% YoY backed by a 79% increase in plywood volumes and 3% rise in price realisation for India operations