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30 June 2020 4QFY20 EBITDA stood at INR7b (v/s est. INR11.2b; +11% YoY and -37% QoQ), led by higher other expenditure. Other expenditure was higher by ~INR2.8b in 4QFY20, primarily due to ~INR1.78b on account of forex related changes on lease liability and higher-than-normal expenditure on CSR. Also, lower other income led to PAT coming in 18% lower YoY at INR3.6b (v/s est. Tax rate was 26.2% in 4QFY20. Total volumes stood at 219tbtu (v/s est. -9%, +7% YoY and -6% QoQ) Utilization at Dahej came in lower than est. at 93% (100% in 3QFY20), with volumes at 206tbtu (+4% YoY and -7% QoQ), primarily due to COVID-19. Utilization at Kochi was higher than est.
It has the best positioned portfolio, with HF Deluxe in the Economy segment, Splendor in Executive 100cc, and Super Splendor / Glamour in Executive 125cc, covering all the price points with multiple variants. With an apt product portfolio for the rural market, the highest brand value, and a strong distribution network, Hero is best placed to benefit from low penetration and ongoing momentum in the rural economy. HMCLs market share in Executive 100cc was at ~87% in FY20 (v/s 84% in FY19), and with the launch of the new Passion, it has gained further market share to 90% in FY21YTD. HMCLs market share declined by 700bp to ~51% in FY20 in the 125cc segment post the launch of the Bajaj Pulsar 125. However, post the launch of the new Super Splendor and Glamour, it regained market share by 225bps FY21YTD.
We are upgrading our FY21/22E EPS estimates by 13.4%/6.8% as BRIT seems confident of sustaining growth momentum on back of improved direct distribution in rural (up 15% in 3 months) and weak states, product innovation/launches (Cream wafers, milkshakes, biscuits, lassi), agility to rebound during Covid and cost efficiency measures. BRIT has proved its resilience during testing times and has emerged stronger than ever recording volume growth of 21.5% and 580bps EBITDA margin expansion led by benign input costs, operating leverage, lower product discounts, efficiency in...
BRIT's reported a blockbuster performance for Q1FY21 beating our and consensus estimates by a healthy margin on all key metrics. Reported Revenue growth of 26.5% was driven by a strong 21.5% volume growth and 2.5% each price mix and ASP increases) to Rs. 3,385cr (Rs. 3,276cr our estimates).
Petronet LNG's total volumes were above our estimates, mainly on account of contracted long term LNG sales and Dahej spot sales. Total sales volumes came in at 219 tbtu vs. 205.1 tbtu in Q4FY19 (up 6.8% YoY) and 233 tbtu in Q3FY20 (down 6% QoQ). Regasification volumes were in line with our estimates at 105 tbtu. Capacity utilisation at the Dahej terminal was at ~85% while capacity utilisation for Kochi terminal was at ~20%. In April, during the lockdown period, Dahej utilisation was lower at 50-55%. It picked up in May and is currently at ~100%. Subsequently, we estimate 881.9 tbtu and...
Higher volumes were clocked in FY20, due to higher efficiency in operations and expansion of nameplate capacity at Dahej. Last few days of March '20, was affected due to nationwide lockdown, however normal volumes have bounced back and the Dahej terminal is running at a capacity utilization of close to 100% with industries starting up and higher usage of gas from Power and other industries as spot LNG prices are low. Capacity Utilization at Kochi is low and is expected to improve after the completion of the KochiMangalore pipeline by end of August'20. The capacity utilization of Kochi terminal after completion will reach around 30-35%, which will further boost...
Petronet LNG (PLNG) reported better-than-expected Q1FY2021 results as the decline of 11% y-o-y in its operating profit to Rs. 910 crore was much lower than our and street expectations of 20-22% y-o-y decline. It is attributable to higher-than-expected Dahej re-gas volume at 181 tbtu (versus estimate of 168 tbtu) and lower other expenses (29% y-o-y). Other expenses were lower as variable cost (such as power and fuel and repairs) declined with lower overall volumes. We highlight here that Q4FY2020 operating profit was impacted by Rs. 31 crore for inventory loss and Rs. 178 crore for forex losses. Kochi terminal volume at 9 TBTU (flat y-o-y; down 31% q-o-q) was in-line...
On the business front, despite the nationwide lockdown, domestic growth is expected to remain more or less stable. Exports growth, barring for one or two months due to congestion in all major ports globally, is also expected to remain strong due to 1) currency benefit, 2) slowdown in competition due to delay in new approvals that will be beneficial for existing players and 3) expected demand continuum across the world despite Covid-19. Some windfall is also expected in some critical productsa case in point is Hydroxychloroquine, a malaria drug that is likely to be repurposed as a prophylaxis for Covid-19 treatment in some cases....
