Grindwell Norton Ltd. share price target

Growth and Profitability Improve in Q1: Grindwell Norton (Grindwell) revenue grew by 13% to Rs. 3.8 bn on the back of strong growth on account of several new initiatives and ceramics segment (~ 12%), while abrasives segment de-grew by 5% in Q1.

ICICI Securities Ltd | Retail Equity Research Grindwell Norton (GNL) reported strong Q1FY19 numbers, which were above our estimates on the operational front Revenues came in at | 381.1 crore, up 12.9% YoY, slightly below our estimates of | 387.3 crore. Abrasives, ceramics and new initiatives' segment contributed 60%, 12.5% and 29.4%, respectively Increased contribution from higher margin segments like ceramics and new initiatives' segment led to a strong operational performance...

Robust Performance in Q4FY18 : Grindwell Norton (GWN) revenue grew by 18% to Rs. 3.8 bn on the back of stronggrowth on account of several new initiatives in the Ceramics & Plastics (C&P) division, while Abrasives segment growth was flat in Q4FY18. Earnings for the quarter grew by 30% YoY to Rs. 0.44 bn largely on account of product mix.

Revenues came in strong at | 383.5 crore, up 17.5% YoY, above our estimate of | 374.8 crore. This was on account of the better performance in ceramics and new initiatives' segment. These segments grew 16.8% and 42.1%, respectively. New initiatives segment contributed 9.3% to the topline EBITDA margins came in at 18.9% vs. 16.2% in Q4FY17 (our estimate: 15.9%). This was due to improving utilisation in all three segments. Gross margins dropped 240 bps YoY. However, employee...

Revenue grew by 16% on the back of strong growth in Ceramics and Plastics division (+24%) and earnings grew even faster at 45% in Q2FY18, due to margin improvement across segments in Q3FY17. We believe earnings to expand by20% CARG in next two years on the account revival in economic activity and GDP growth crossing 7.5% in FY19-FY20, market share gain from unorganised market for consumables and strong traction for new product lines in market.

ICICI Securities Ltd | Retail Equity Research Grindwell Norton (GNL) reported strong Q3FY18 numbers, which were above our estimates on the EBITDA and PAT front. This was mostly on account of strong growth of 24.3% YoY in the ceramics segment coupled with strong EBIT margins of 15% (9.5% in Q3FY17). The abrasives segment contributed 61% of topline while the ceramics segment contributed 29% to the topline Revenues came in at | 365.4 crore, up 16.2% YoY, in line with our...

ICICI Securities Ltd | Retail Equity Research Grindwell Norton (GNL) reported strong Q2FY18 numbers, which were above our estimates. This was mostly on account of higher growth of 14.9% YoY in the ceramics segment (our estimate 12% YoY) coupled with strong EBIT margins of 13.8% (9% in Q2FY17). The abrasives segment contributed 62% of topline while the ceramics segment contributed ~30% to the topline Revenues came in at | 344.4 crore up 10.6% YoY, above our...

Revenues Grew; Cost Pressure Impacted Margin Expansion in Q1FY18: Revenue (net) grew by 8.6% and 9.1% on YoY basis at consolidated and standalone level respectively during Q1FY18.Abrasives segment posted YoY growth of 2.6% in Q1FY18 while the same for Ceramics & plastics came in at 18.0%. Weakness in Ceramics & Plastics segment at subsidiaries level contracted YoY revenue growth to the extent of 13.1% compared to same period last year.

ICICI Securities Ltd | Retail Equity Research Grindwell Norton's (GNL) reported Q1FY18 results, which were below our estimates. This was mostly on account of weak growth of 2.6% YoY in the abrasives segment (our estimate 10% YoY). The abrasives segment contributed ~64% of topline, while the Ceramics & Plastics segment contributed ~28% to the topline. Revenues came in at | 337.7 crore up 8.5% YoY, marginally below our estimates of | 343.1 crore. Abrasives segment grew 2.6% YoY, |...

ICICI Securities Ltd | Retail Equity Research Grindwell Norton (GNL) reported Q4FY17 numbers, which were below our estimates. The abrasives' segment contributed ~67% of...