Kalyani Steels Ltd. share price target

Kalyani Steels Ltd., continued to report strong top line in Q4FY17. Net sales stood at Rs. 35bn with a growth of ~17.8% YoY and -9.2% QoQ. EBITDA margins contracted by 351 bps to 17.1% vs 20.6% in Q4FY16, mainly due to firmed up of coking coal, coke and iron ore prices and change in product mix. However, no trading activity in Q4FY17 led marginal expansion in EBITDA margins by 20 bps on QoQ basis. Lower depreciation and interest expense (depreciation / interest expense decreased by ~30.7%/~30.9% YoY) and higher other income...

Kalyani Steels Ltd., reported Q3FY17 result with a strong revenue performance. Net sales stood at Rs. 3.9bn with a growth of ~51.4% YoY and 18.6% QoQ. KSl witnessed a contraction in its EBITDA margins by ~526/525 bps to 16.8% in Q3FY17. Net profit stood at Rs 343mn a growth of ~31.2%/-8.9% YoY/QoQ, respectively. KSL continues its debt reduction...

BUY Kalyani Steels Ltd at CMP Rs. Rs. 332.70 and add on dips to Rs. 300-310 for the Sequential Targets of Rs. 367 & Rs. 404

Going forward we expect KSL to enjoy high margins led by benefit of change in product mix with highly engineered products, cost reduction program undertaken by the company and commodity crash along with the strong operational efficiency. We expect...

EBITDA margin stood at 20.6% for 4QFY16: EBITDA stood at Rs 621mn vs Rs 444mn in 4QFY15. EBITDA margins stood at 20.6% vs 14.69%/22.1% YoY/QoQ respectively led by commodity crash....

Bright future ahead: KSL enjoys strong parentage of the Kalyani group. The company supplies ~35% of its total revenue to group companies. Bharat forge, the flagship company of the group, with...

Kalyani Steels Ltd., is a part of the Kalyani Group (annual turnover of the group ~USD 3bn). The company is in the manufacturing of specialized forging and engineering quality carbon and alloy steels...