Please Share:: 
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Result Reviews
Hero Honda – 3QFY2011
Hero Honda (HH) reported better-than-expected 34.9% yoy and 13.5% qoq growth in its top
line to `5,162cr, against our expectation of `4,967cr. Growth was aided by robust 28.5%
yoy (up 11% qoq) growth in volumes and a ~4.4% yoy increase in average net realisation.
The top-line performance was also supported by a substantial ~245% yoy increase in other
operating income at `43.5cr (`12.6cr in 3QFY2010). On the operating front, HH posted a
12.8% yoy decline in operating profit at `577cr due to the decline in EBITDA margins.
EBITDA margins for 3QFY2011 came in 168bp lower than our estimates at 11.2%,
registering a significant 610bp yoy and 219bp qoq contraction. Margin contraction can be
attributed to a 599bp yoy increase in raw-material cost, accounting for 74.5% (68.6%) of net
sales. The company reported a 19.9% yoy decline in net profit to `429cr, as against our
estimate of `548cr, largely due to the contraction in operating margins and an exceptional
item of `79.8cr towards provisions for probable claims from statutory authorities. However,
higher other income and lower tax outgo during the quarter arrested the further fall in net
profit to a certain extent.
At `1,523, the stock is trading at 15.1x FY2011E and 13.8x FY2012E earnings. We may
revise our estimates and will be coming up with a detailed result note soon. Currently, we
remain Neutral on the stock.
GSK Consumer – 4QCY2010
GSKCHL posted a robust set of numbers on both the top-line and the earnings front. The top
line grew by 21.4% yoy to `507.8cr (`418.1cr). Operating margin expanded by 271bp yoy
to 11.5% (8.8%) on account of a decline in advertising expense (283bp yoy) and other
expenses (271bp yoy). In terms of earnings, the company reported an earnings increase of
58.5% yoy to `53.4cr (`33.7r), aided by a 51.9% yoy increase in other income to `33.1cr
(`21.8cr). The stock is currently under review.
The concall is on February 4, 2011, at 09:30 am and the dial-in number is 30650103.
TajGVK – 3QFY2011
TajGVK posted top-line growth of 9.2% yoy to `70cr (`64cr), which was below our estimates
of `76cr. The operating margin declined by 90bp yoy to 39.6% (40.5%) on account of
higher raw-material costs and other expenses. PAT grew by 5.9% yoy to `13cr (`12cr), again
below our estimates of `15cr. The stock is currently under review. We may revise our
numbers post the management call.
Result Previews
Ambuja Cements – 4QCY2010
Ambuja Cements is slated to announce its 4QCY2010 results. We expect the top line to
increase by 3.4% yoy to `1,849cr on account of higher dispatches. OPM is expected to
decline by 407bp yoy to 21.1% on account of a fall in prices and an increase in power and
freight costs. Net profit is expected to decline by 5.3% yoy to `228cr. We maintain our
Neutral view on the stock.
ACC – 4QCY2010
ACC is slated to announce its 4QCY2010 results. We expect the top line to decline by 3.3%
yoy to `1,919cr due to a fall in realisation; however, dispatches for the quarter were higher
by 6.3% yoy. OPM for the quarter is expected to decline by 713bp yoy to 17.7% due to a fall
in prices and an increase in input costs such as power and freight. Net profit is expected to
drop by 33.6% yoy to `186cr. We remain Neutral on the stock.
Motherson Sumi Systems – 3QFY2011
Motherson Sumi is scheduled to announce its 3QFY2011 results. We expect the company to
report 10.8% yoy growth in revenue to `1,975cr. On the operating front, the company is
expected to report a marginal 44bp yoy contraction in margins to 10.5%. However, net profit
is expected to increase by 15.9% yoy to `87cr. The stock rating is under review.
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Result Reviews
Hero Honda – 3QFY2011
Hero Honda (HH) reported better-than-expected 34.9% yoy and 13.5% qoq growth in its top
line to `5,162cr, against our expectation of `4,967cr. Growth was aided by robust 28.5%
yoy (up 11% qoq) growth in volumes and a ~4.4% yoy increase in average net realisation.
The top-line performance was also supported by a substantial ~245% yoy increase in other
operating income at `43.5cr (`12.6cr in 3QFY2010). On the operating front, HH posted a
12.8% yoy decline in operating profit at `577cr due to the decline in EBITDA margins.
EBITDA margins for 3QFY2011 came in 168bp lower than our estimates at 11.2%,
registering a significant 610bp yoy and 219bp qoq contraction. Margin contraction can be
attributed to a 599bp yoy increase in raw-material cost, accounting for 74.5% (68.6%) of net
sales. The company reported a 19.9% yoy decline in net profit to `429cr, as against our
estimate of `548cr, largely due to the contraction in operating margins and an exceptional
item of `79.8cr towards provisions for probable claims from statutory authorities. However,
higher other income and lower tax outgo during the quarter arrested the further fall in net
profit to a certain extent.
At `1,523, the stock is trading at 15.1x FY2011E and 13.8x FY2012E earnings. We may
revise our estimates and will be coming up with a detailed result note soon. Currently, we
remain Neutral on the stock.
GSK Consumer – 4QCY2010
GSKCHL posted a robust set of numbers on both the top-line and the earnings front. The top
line grew by 21.4% yoy to `507.8cr (`418.1cr). Operating margin expanded by 271bp yoy
to 11.5% (8.8%) on account of a decline in advertising expense (283bp yoy) and other
expenses (271bp yoy). In terms of earnings, the company reported an earnings increase of
58.5% yoy to `53.4cr (`33.7r), aided by a 51.9% yoy increase in other income to `33.1cr
(`21.8cr). The stock is currently under review.
The concall is on February 4, 2011, at 09:30 am and the dial-in number is 30650103.
TajGVK – 3QFY2011
TajGVK posted top-line growth of 9.2% yoy to `70cr (`64cr), which was below our estimates
of `76cr. The operating margin declined by 90bp yoy to 39.6% (40.5%) on account of
higher raw-material costs and other expenses. PAT grew by 5.9% yoy to `13cr (`12cr), again
below our estimates of `15cr. The stock is currently under review. We may revise our
numbers post the management call.
Result Previews
Ambuja Cements – 4QCY2010
Ambuja Cements is slated to announce its 4QCY2010 results. We expect the top line to
increase by 3.4% yoy to `1,849cr on account of higher dispatches. OPM is expected to
decline by 407bp yoy to 21.1% on account of a fall in prices and an increase in power and
freight costs. Net profit is expected to decline by 5.3% yoy to `228cr. We maintain our
Neutral view on the stock.
ACC – 4QCY2010
ACC is slated to announce its 4QCY2010 results. We expect the top line to decline by 3.3%
yoy to `1,919cr due to a fall in realisation; however, dispatches for the quarter were higher
by 6.3% yoy. OPM for the quarter is expected to decline by 713bp yoy to 17.7% due to a fall
in prices and an increase in input costs such as power and freight. Net profit is expected to
drop by 33.6% yoy to `186cr. We remain Neutral on the stock.
Motherson Sumi Systems – 3QFY2011
Motherson Sumi is scheduled to announce its 3QFY2011 results. We expect the company to
report 10.8% yoy growth in revenue to `1,975cr. On the operating front, the company is
expected to report a marginal 44bp yoy contraction in margins to 10.5%. However, net profit
is expected to increase by 15.9% yoy to `87cr. The stock rating is under review.
No comments:
Post a Comment