Sharekhan Broker Research reports

We retain BUY on TCI with an unchanged SOTP-based PT of Rs. 1,400, considering its sustained healthy earnings growth trajectory over the next 2-3 years.

Radico Khaitan Limited’s (RKL’s) Q2FY2025 numbers were strong beating estimates on all fronts, with net revenues rising by 21% y-o-y and OPM improving 152 bps y-o-y to 14.6%, leading to 33% y-o-y growth in PAT.

Overall revenue growth of 133% was led by strong performance in mobiles & EMS (235%), home appliances (22%) and Lightning products (29%) division. Operating profits were higher by 114% to Rs 426 crore, with OPM falling 33 bps.

Revenues reached Rs. 7,433 crore, rising by 6% y-o-y and by 57% q-o-q, primarily driven by higher volumes of primary sales.

Earnings significantly above estimates, grew by 23% y-o-y mainly driven by higher recoveries from written off accounts leading to higher RoA at 1.3%. Sustainable RoA trajectory remains at 1-1.1% for the bank.

Core revenues grew 44% y-o-y/ 13% q-o-q driven by strong growth in mutual fund AUM (up 57% y-o-y/ 14% q-o-q). Overall AUM reached Rs 6.5 lakh crore (up 50% y-o-y). Blended revenue yields were at 42 bps stable q-o-q and lower by 4 bps y-o-y.

Godrej Consumer Products Limited’s (GCPL’s) Q2FY2025 performance was in line with expectations with revenue rising ~2% y-o-y (high single-digit domestic volume growth), OPM rising by 70 bps y-o-y to 20.8% and adjusted PAT growing by 12% y-o-y.

Reported APAT at Rs 247 crore against estimate of Rs 256 crore (up 5.1% y-o-y), while EBITDA margins contracted by 40 bps y-o-y to 18.1% (against estimate of 18%).

Q2FY25 revenues totaling Rs. 1,201 crore, demonstrating a significant y-o-y growth rate of 20%.EBITDA stood at Rs. 236 crore, marking a remarkable y-o-y increase of 31%.

Coforge reported revenue of $369.4 million, up 26.8% q-o-q/32.8% y-o-y. Organic revenue stood at $309.8 million, up 5.5% q-o-q in constant currency terms, beating our estimate of $305.9 million.