Summary Heritage Foods Limited - Company Profile and SWOT Analysis, is a source of comprehensive company data and information. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360˚ view of the company. Key Highlights Heritage Foods Limited (HFL), a flagship company of the Heritage Group, is a fast-moving consumer goods (FMCG) company. It is engaged in the dairy, retail, agri, bakery, and renewable energy busi...
NESTLÉ INDIA: EBITDA in-line; fair valuation limits upside (NEST IN, Mkt Cap USD22.9b, CMP INR19755, TP INR18700, 5% Downside, Neutral) Nestlé India (NEST) delivered a slight beat on our sales estimates. Sales growth was driven by double-digit YoY growth across segments, led by better volumes, mix and higher realizations. While demand and sentiment remained strong in metros, it was robust across smaller towns and rural markets as well – an encouraging development. Gross margin came in 170b...
Nestlé India (NEST) declared broadly in-line 2QCY22 result. Volumes and price increases have played an equal part in driving 13.3% sales growth in 1HCY22 with volumes growing 7% and realization making up for the rest. Management pointed out that while there has been some softening in edible oil and packaging costs; milk, green coffee, wheat, etc. are at all-time high levels and are likely to remain firm for some more time. NEST’s strategy of avoiding sharp price hikes, unlike the past, means ...
The independent financial analyst theScreener just requalified the general evaluation of NESTLE INDIA (IN), active in the Food Products industry. As regards its fundamental valuation, the title still shows 1 out of 4 stars and its market behaviour is seen as defensive. theScreener believes that the unfavourable environment weighs on the sector and penalises the company, which sees a downgrade to its general evaluation to Neutral. As of the analysis date February 4, 2022, the closing price was IN...
NESTLÉ INDIA: Healthy sales; material cost concerns persist (NEST IN, Mkt Cap USD24.8b, CMP INR19378, TP INR19100, 1% Downside, Neutral) Nestlé India (NEST) reported sales in line with our estimates. Growth of 9.6% in 3QCY21 on a base of 10.1% in 3QCY20 indicates a healthy demand trend. In a welcome new disclosure, the quarterly press release now has commentary on segmental growth, and growth for the quarter seems to be broad based across the four key segments. On a high EBITDA marg...
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....
NESTLE INDIA: Sales below our estimate; gross margin pressure evident (NEST IN, Mkt Cap USD23.4b, CMP INR18013, TP INR18600, 3% Upside, Neutral) Sales growth of 14% YoY in 2QCY21 was lower than our expectation (+17%), given the weak base in 2QCY20 (+1.7% YoY sales growth). Two-year average sales growth slipped to 7.8%, lower than the 9-10% range seen in the preceding three quarters. Rising palm oil and packaging costs led to lower than expected operating margin, resulting in a 5-6% miss t...
Summary GlaxoSmithkline Consumer Healthcare Ltd - Strategy, SWOT and Corporate Finance Report, is a source of comprehensive company data and information. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360˚ view of the company. Key Highlights GlaxoSmithKline Consumer Healthcare Ltd (GSKCH), a subsidiary of GlaxoSmithKline plc is a manufacturer and marketer of health food drinks. The company's product portfol...
Global Equities Stumbling Again We continue to believe global equities (ACWI-US) are likely to test the recent low made on March 23, with an undercut of roughly 10% also in the cards. This expectation is supported by price action during prior major waterfall declines in past recessionary periods. It is also worth noting that 15-25% rallies are to be expected within bear markets -- potentially multiple. During 2001-2002 the S&P 500 had two 20-25% rallies, and both ended up failing and breaking t...
Q4CY19 result highlights Nestle India’s net sales were up 8.8% yoy to Rs31.3bn (est: Rs31.5bn), EBITDA grew by 13.6% yoy to Rs6.59bn (est: Rs5.95bn) and Adj. PAT (adj. for Rs415m provisions of contingencies in the base qtr) grew by 23.4% yoy to Rs4.7bn (est: Rs4.7bn) due to lower tax rate. Consensus EBITDA est. stood at Rs6.8bn. Domestic sales grew by strong 10% yoy driven by both volume and mix. Export Sales declined by 9.7% due to lower exports of coffee to Turkey. We believe domestic volu...
Nestle India: Sales outlook healthy, milk inflation to curtail margin expansion (NEST IN, Mkt Cap USD22.2b, CMP INR16418, TP INR15550, 5% Downside, Neutral) Miss on EBITDA/PAT Double-digit domestic sales growth, while lower than forecast, is very healthy in the current environment. Higher milk & milk derivative costs are likely to weigh on near-term earnings growth, but longer-term prospects remain robust. Valuations of 58.1x/48.6x CY21/22E EPS fully factor in upside from one-year pers...
Q3CY19 result highlights Nestle India’s net sales were up 9.5% yoy to Rs32bn (est: Rs31.8bn), EBITDA grew by 3.8% yoy to Rs7.35bn (est: Rs7.3bn) and PAT grew by 33.4% yoy to Rs5.95bn (est: Rs5.9bn) due to tax rate cuts. Domestic sales grew by strong 10.5% yoy driven by both volume and mix. Export Sales declined by 7% due to lower exports of coffee to Turkey. We believe domestic volume growth is likely to be in high single digits for the quarter. Maggi, Kitkat, Munch, Nescafe RTD, Nangrow and...
Nestle India: Healthy topline growth; Commodity inflation impacts margins (NEST IN, Mkt Cap USD19.6b, CMP INR14474, TP INR14034, 3% Downside, Neutral) 3QCY19 net sales grew 9.4% YoY to INR32.2b (v/s est. INR31.9b). Domestic sales grew 10.5%, largely driven by volume and mix. Export sales declined 7.1% due to lower coffee exports to Turkey. EBITDA grew 2.4% YoY to INR7.6b (v/s est. INR8.1b); PBT grew 2.8% YoY to INR7.1b (v/s est. INR7.6b) and Adj. PAT grew 30.4% YoY to INR6b (v/s est. INR5.1b)...
We present key takeaways of our interaction with Nestle India at its analyst meet. Nestle’s execution engine continues to roll on as it remains confident of sustaining profitable growth. The ‘cluster’ approach is paying rich dividends as it continues to sustain or build on its leadership position in ~85% of its portfolio. Science and consumer driven innovations and renovations would continue as Nestle has a ~70% success rate in NPDs (vs 5-10% of industry) and not only is this a key near-term gro...
NESTLE INDIA: Strengthening building blocks for long-term growth (NEST IN, Mkt Cap USD16.3b, CMP INR11982, TP INR11510, 4% Downside, Neutral) Nestle India (NEST) hosted its analyst meet on 9th Aug'19 to share a holistic view on its business. We thoroughly analyzed the details revealed by management and were particularly impressed with its best-in-industry growth strategy. Key takeaways: After many years of lull (and an actual sharp decline in CY15 due to the Maggi crisis), NEST's distrib...
Q2CY19 result highlights Nestle India’s net sales were up 11.4% yoy to Rs29.8bn (est: Rs29.2bn), EBITDA grew by 7.9% yoy to Rs6.8bn (est: Rs6.6bn) and PAT grew by 9.7% yoy to Rs4.37bn (est: Rs4.25bn). Domestic sales grew by strong 13.1% yoy driven by volume and mix and positively influenced by sales to CSD and sale of surplus fat. Export Sales declined by 13.9% due to lower exports of coffee to Turkey. We estimate domestic volume growth at 8% for the quarter and the impact of surplus fat to ...
NESTLE INDIA: Healthy topline growth; Soft demand outlook called out (NEST IN, Mkt Cap USD15.8b, CMP INR11428, TP INR10800, 5% Downside, Neutral) NEST reported 2QCY19 net sales growth of 11.2% YoY to INR30b (est. INR30b). Domestic sales grew 13.1%, largely driven by (a) volume and mix, (b) positively influenced by sales to CSD, and (c) sale of surplus fat. Export sales declined 13.9% YoY due to lower coffee exports to Turkey. EBITDA grew 6.4% YoY to INR7.1b (est. INR7.2b) and Adj. PAT gre...
Nestle India: Miss on top line; better operating margin salvages EBITDA (NEST IN, Mkt Cap USD14b, CMP INR10215, TP INR10615, 4% Upside, Neutral) Reported net sales grew 8.9% YoY to INR30b (our estimate: INR31.7b) in 1QCY19. Domestic sales increased 10.2%, while exports fell 8.9% due to lower coffee exports to Turkey. EBITDA grew 5.3% YoY to INR7.5b (our estimate: INR7.4b). Adj. PAT was up 8.2% YoY to INR4.8b (our estimate: INR4.6b). Gross margin shrank 60bp YoY to 58.5% due to higher co...
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