CONTAINER CORPORATION: The domestic segment continues to drive volumes (CCRI IN, Mkt Cap USD5.3b, CMP INR685, TP INR790, 15% Upside, Buy) CCRI posted an in line operational performance, with a volume/realization growth of 2%/7% YoY. Revenue grew 9% YoY to INR19.8b, 4% lower than our estimate. EXIM/domestic volumes stood at 0.78m/0.22m TEUs (-3.7%/+29.2% YoY). EBITDA/PAT grew 9%/14% YoY to INR4.7b/INR2.9b (in line). CCRI continues to incur capex towards infrastructure, rolling stock, contain...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
Q2FY20 result highlights Adj. PAT fell 9% yoy to Rs3.04bn: due to no recognition of SEIS income (govt export incentive; FY20 yet to be notified). Ex-SEIS, PAT grew 8% yoy driven by sharp margin expansion. Revenue growth muted at +1% yoy to Rs17.4bn: due to 2% yoy volume decline (EXIM -2.7% yoy & domestic +2.1% yoy; originating -3% yoy) led by weak macro trade as reflected in port volumes. This was offset by 3% yoy increase in realisations (exim +2%; domestic +5%) led by 5% freight hike effec...
Q1FY20 result highlights PAT declined 10% yoy to Rs2.28bn: and below estimates due to no recognition of SEIS income (FY20 benefit yet to be notified). However, earnings were operationally strong on margin expansion. Revenues +9.4% yoy to Rs16.4bn: led by 10% yoy in realisations (exim +10.4% yoy; domestic +10.6% yoy). Higher realisation are led by freight hike of 5% effective 1st April 2019 and service charge hikes in 2HFY19. However, weak port volumes and focus on profitable volumes led to 1...
Container Corporation: Volumes dip for both EXIM and domestic; Incremental revenue from coastal shipping in FY20 (CCRI IN, Mkt Cap USD4.5b, CMP INR515, TP INR625, 21% Upside, Buy) Volumes dip; profitability improves led by realization: Revenues grew 9% YoY to INR16.4b (v/s our est. INR17.6b). Volumes dip 1% YoY. Realizations increased 10%YoY. EBITDA margins came in at 24.6%, while EBITDA stood at INR4.03b. Subsequent to the implementation of IND-AS116 during the quarter, operating/other e...
Container Corporation: Volumes below estimate, lower empty running charges aid sequential profitability (CCRI IN, Mkt Cap USD4.3b, CMP INR492, TP INR564, 15% Upside, Buy) Sequential margins improve: Revenues (excluding SIES income) grew 12% YoY to INR17.5b, in line with our estimate led by volume growth of 3% YoY and realization increase of 9% YoY. EBIT/TEU increased 21% QoQ as empty running charges declined significantly on a sequential basis due to Indian Railways announcing 25% discount o...
Q3FY19 result highlights PAT fell 5% yoy to Rs2.75bn: on high base as 3QFY18 had recognised 9MFY18 SIES income of Rs1.85bn. Earnings were below estimates on lower than expected margins in the quarter. Revenues +8% yoy to Rs15.7bn: on 7% yoy volume growth (originating +1% yoy) and marginal improvement in realisations (exim +0.9% yoy; domestic +1.5% yoy). The realisation increase is led by Rs1000/TEU freight hike in May-18 and Rs1500/TEU service charge hike in Aug-18. Margins improve yoy, alb...
Container Corporation: Margins affected by trade imbalance (CCRI IN, Mkt Cap USD4.2b, CMP INR489, TP INR614, 25% Upside, Buy) Sequential margins decline due to lower realization: Revenues (excluding SIES income) grew 11% YoY to INR15.73b v/s our estimate of INR16b, led by volume growth of 7% YoY. Realizations declined 3% QoQ due to trade imbalance. Thus, EBITDA margin declined 2.23pp QoQ, but increased 4.16pp YoY to 21.2% (lower than our estimate of 23.7%). Thus, EBITDA stood at INR3.34b ...
Key highlights of our meeting with Container Corporation of India (Concor) management. Volume growth to remain strong: Sustained port volume growth will continue to boost strong volume momentum. Management maintained guidance of 12% volume growth for FY19 across domestic and exim segments. We note this is despite weakness seen in Nov-18 Indian Railways data. Focus on end-to-end service: Concor is focusing on becoming a complete logistics solution provider rather than just a transport solution...
Q2FY19 result highlights PAT +45%yoy to Rs3.36bn: on strong operational performance & Rs1bn SEIS income recognition vs nil in 2Q18 (we re-classify as other inc). Revenues +19% yoy to Rs17.2bn: led by higher exim volumes on improved trade (handling +13% yoy; originating +9.% yoy) and domestic (+19% yoy). Importantly, realisations in exim improved by 6% yoy on Rs1000/TEU freight hike in May-18 and Rs1500/TEU hike in service charges in Aug-18. Domestic realisations were flat during the quarter....
Container Corporation: Healthy margins due to price hikes (CCRI IN, Mkt Cap USD4.2b, CMP INR631, TP INR791, 25% Upside, Buy) EXIM segment drives margins: Revenue (excluding SIES income) grew 19% YoY to INR17.2b (our estimate was INR16b), led by volume growth of 14% YoY. Realization increased 5% YoY; +9%QoQ due to ~INR 2500/TEU of price hikes. EBITDA margin expanded 1.9pp YoY and 2.1pp QoQ to 23.5% (in line with estimates). EBITDA increased 30% YoY to INR 4.04b (our estimate was INR3.7b). ...
Container Corporation: Higher profits led by SIES income (CCRI IN, Mkt Cap USD4.6b, CMP INR648, TP INR769, 19% Upside, Buy) EXIM segment drives margins: Revenue (excluding SIES income) grew 3% YoY to INR14.98b (our estimate was INR16b), led by volume growth of 11% YoY. Realization declined 3% YoY due to lower lead distance. Adjusted EBITDA margin contracted 1.1pp YoY and 0.9pp QoQ to 21.4% (our estimate was 23.9%). Adjusted EBITDA declined 2% YoY to INR3.2b (our estimate was INR3.83b), as...
Q4FY18 result highlights PAT fell 27% yoy to Rs3.1bn: due to high base (export incentive for FY17 recognized in Q4Y17) and higher tax. EBITDA +31% yoy to Rs3.47bn. Revenues +13.5% yoy to Rs15.6bn: led by higher exim volumes on improved trade (handling +20% yoy; originating +14% yoy) and domestic (+14% yoy). However, realisations in exim continued to decline (-2.2% yoy) on lower lead distances (higher share of Mundra & East ports vs JNPT). Domestic saw 5% yoy increase in realisations (price h...
Container Corporation: Strong volume growth in EXIM; Price hikes to ensure firm margins (CCRI IN, Mkt Cap USD4.9b, CMP INR1305, TP INR1553, 19% Upside, Upgrade to Buy) Domestic segment drives margins: Revenue increased 12% YoY to INR15.6b (est of INR 15.5b) led by volume growth of 19% YoY while realizations declined 6%YoY due to lower lead distance. Adj. EBITDA margin at 22.2% vs est of 21.3% (+1.8pp YoY/QoQ). Adj. EBITDA increased 21% YoY to INR 3.46b (v/s estimate of INR3.3b) due to hig...
We met the management of Concor. Below are key takeaways: Volume growth on track led by markets share gains: Concor is on track to deliver its guidance of 12% volume growth in FY18 led by: 1) Uptick in exim trade, reflected in robust port volumes, which is driving volumes in Concor’s exim segment, 2) Timely movement of containers and operating efficiencies aiding market share gains at JNPT (~85%) and Pipavav (~60%) and 3) rebound in domestic volumes with service tax abatement issue being resolv...
Q3FY18 result highlights PAT +55%yoy to Rs2.2bn: due to recognition of SEIS income of Rs1.86bn. Revenues +11% yoy to Rs14.5bn: led by higher exim volumes on improved trade (exim +11% yoy; originating +8.2% yoy) and domestic (+9.2% yoy). However, realisations in exim continued to decline (-2.4% yoy) on lower lead distances (higher share of volumes from Mundra & East ports vs JNPT). Domestic saw 9% yoy increase in realisations. Rise in employee costs drives margin contraction: OPM fell to 17....
Container Corporation: Healthy volume growth; margins improving steadily (CCRI IN, Mkt Cap USD5.4b, CMP INR1440, TP INR1469, 2% Upside, Neutral) Revenue increased 11% YoY to INR14.5b (est. of INR14.8b), led by volume growth of 11% YoY, while realizations were flat YoY. Adj. EBITDA margin came in at 20.4% v/s our estimate of 20.9% (+0.6pp YoY; +0.7pp QoQ). Adj. EBITDA increased 14% YoY (+5% QoQ) to INR2.97b (est. of INR3.1b) due to lower profitability in the domestic segment. Tax rate was hi...
Q2FY18 result highlights PAT +41%yoy to Rs2.2bn: led by margin expansion & higher other inc. Revenues increased 5% yoy to Rs14.3bn: led by 11.2% yoy growth in volumes on improved exim trade (exim +11% yoy; originating +7% yoy) and domestic (+12.6% yoy). However, realisations in exim continued to decline (-7.7% yoy) on lower lead distances (higher share of volumes from Mundra and east ports like Kolkata, Vizag, etc. vs JNPT). However, domestic segment saw 4% yoy increase in realisations. Dou...
​Container Corporation: Cost efficiencies to drive up margins(CCRI IN, Mkt Cap USD5.2b, CMP INR1391, TP INR1496, 8% Upside, Neutral)Revenue grew 5% YoY (but declined 2% QoQ) to INR14.3b, lower than our estimate due to lower than estimated realizations. EBITDA margin was 19.7% (-2.7pp QoQ; +3pp YoY); sequential decline in margin was on account of one-time income of INR400m booked in 1QFY18. EBITDA increased 24% YoY (but declined 14% QoQ) to INR2.82b (v/s our estimate of INR3.4b). PAT at INR2.2b...
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