EUR 120.00 For Business Accounts Only

MOSL: Morning India (6/August/21): 1. Godrej Consumer (In line result; continuation in sales momentum encouraging); 2. Cipla; 3. GAIL (India); 4. Gujarat Gas; 5. Tata Communications; 6. HPCL; 7. Ipca Labs.; 8.

MOrning India (6/August/21): 1. Godrej Consumer (In line result; continuation in sales momentum encouraging); 2. Cipla; 3. GAIL (India); 4. Gujarat Gas; 5. Tata Communications; 6. HPCL; 7. Ipca Labs.; 8. Tata Chemicals

 

Today’s top research idea

Godrej Consumer: In line result; continuation in sales momentum encouraging

• GCPL's 1QFY22 sales were in line with our estimate, while EBITDA margin was slightly better than expected, despite higher than anticipated gross margin pressures due to a lag between commodity cost increases and price hikes taken by the company.
• The domestic business reported a sales growth of 19% YoY in 1QFY22 and two-year CAGR of 12%. Both key domestic categories of HI and Personal Wash witnessed double-digit two-year CAGR.
• We maintain our Buy rating as pieces of the growth puzzle that were missing earlier are gradually falling into place as highlighted in our detailed note on the company in Jun'21 as well as our upgrade note.

Piping hot news

Retro Tax Amendments will end legacy cases, bring tax certainty: Revenue Secretary Tarun Bajaj

In a major development, the government today introduced an amendment to do away with the contentious retrospective tax demand provisions. The move will provide relief to Vodafone and Cairn Energy that were embroiled in a tax tussle with the Indian government. Revenue Secretary Tarun Bajaj spoke to ET Now and said the amendments will put to an end to some of the legacy issues and tell investors that India means business and has tax certainty.