MOSL: ANNUAL REPORT THREADBARE (ART) | ASHOK LEYLAND FY18: Fund infusion in subsidiaries continues
ANNUAL REPORT THREADBARE (ART) | ASHOK LEYLAND FY18: Fund infusion in subsidiaries continues
Ashok Leyland’s (AL) FY18 annual report highlights improved operating performance, with standalone EBITDA rising 24% to INR27b. This coupled with release of working capital of INR30b (INR15b on account of increase in payables and INR6b on account of advance from customers) led to increase in CFO to INR54b (FY17: INR22b). While Hinduja Leyland Finance’s (HLF) NII and loan book increased, its credit cost rose led by higher provisions. Ashok Leyland Vehicle (ALVL) turned profitable at INR1.3b (FY17: -INR94m) on the back of higher gross margin and lower operating expenditure and employee cost; performance of other subsidiaries remained muted. Fund infusion in subsidiaries increased to INR7.7b (FY17: INR3.2b), of which INR2.6b was in Optare Plc. AL gave to Hinduja Energy (a related party) and received back loans/advances of INR4.6b (FY17: INR5.6b).
Standalone operating performance robust: Standalone revenue grew 31% to INR263b, EBITDA grew 24% to INR27b despite 60bp lower margin at 10.4% (FY17: 11%). PAT grew 33% to INR16b despite the normalization of tax rate to 30% (FY17: 8% due to tax benefit on accumulated losses on merger of Hinduja Foundaries). ALVL has accumulated tax losses of INR6.5b; its merger will lead to lower tax rates.
Ashok Leyland Limited is a holding company. The Company is engaged in Commercial vehicles and related components. Through its subsidiaries, it is engaged in manufacturing and trading in Medium and Heavy Commercial Vehicle, Light Commercial Vehicles, Passenger vehicles, automotive aggregates, vehicle financing and engineering design services. It offers a range of 18 to 80-seater buses under categories, such as city application and electric buses. It offers a range of trucks, which include long haul trucks, mining and construction trucks, and distribution trucks. It designs, develops and manufactures defense vehicles for armed forces. It offers Light Vehicles, which include DOST, PARTNER, STiLE and MiTR. It offers power solutions for electric power generation, agricultural harvester combines, earth moving and construction equipment, and marine and other non-automotive applications. It has operations in India, Sri Lanka, Bangladesh, Mauritius, the Middle East and Africa.
Motilal Oswal Financial Services Ltd. is a reputed name in Financial Services and Online Trading with group companies providing services such as Private Wealth Management, Retail Broking and Distribution, Institutional Broking, Asset Management, Investment Banking, Private Equity, Commodity Broking, Currency Broking, Principal Strategies & Home Finance.
Motilal Oswal Securities is a group company of Motilal Oswal Financial Service Limited which started as a stock trading company and has blossomed into well diversified firm offering a range of financial products and services. Motilal Oswal has built a reputation as the source for best stock trading company and this has taken a wealth of experience, knowledge and expertise, constantly working in tandem, over the years.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.