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....
KANSAI NEROLAC PAINTS (IN), a company active in the Speciality Chemicals industry, reduced its market risk and raised its general evaluation. The independent financial analyst theScreener awarded an improved star rating to the company, which now shows 1 out of 4 possible stars; its market behaviour has improved and can be considered as defensive. theScreener believes that this new assessment merits an overall rating upgrade to Slightly Positive. As of the analysis date March 23, 2021, the closin...
Indigo Paints (IP) is engaged in the business of manufacturing paints in India. It was the fifth largest company in the Indian decorative paint industry, in terms of revenue from operations in FY20 and was the fastest growing among the top five paint companies. Revenue from operations have grown at 41.9% CAGR over FY10-19 and 24.7% CAGR over FY18-20. Margins have been on an uptrend as well and hence, over FY18-20, gross profit grew at 36% CAGR, EBITDA at 87.8% and PATMI at 92.8%. The company ...
Q3FY20 result highlights Standalone net sales declined by 7.7% yoy to Rs12.4 (est: Rs13.2bn), EBITDA grew by 8.4% yoy to Rs1.8bn (est: Rs1.97bn), PAT increased by 8.8% yoy to Rs1.2bn (est: Rs1.3bn). Decorative volumes grew by 1% yoy while Automotive saw a decline of 20%+ during the quarter. Gross margins increased by 290bps yoy to 37.1% led by benign input cost. Staff cost were flat yoy, other expenses were down 6% yoy. Resultant EBITDA margins increased by 220bps yoy to 14.8%. Adjusting fo...
Q2FY20 result highlights Standalone net sales declined by 3.8% yoy to Rs12.4(est: Rs13.5bn), EBITDA increased by 10% yoy to Rs2.06bn (est: Rs2.2bn), PAT increased by 58.5% yoy to Rs1.9bn (est: Rs1.8bn) Decorative volumes grew in double digit but value growth was 8% yoy. Automotive business saw 22% yoy decline. Gross margins increased by 300bps yoy to 38.1% led by benign input cost. Staff cost was up 10% yoy, other expenses were down 3% yoy. Resultant EBITDA margins increased by 210bps yoy t...
Q1FY20 result highlights Standalone net sales grew by 6.6% yoy to Rs14.6bn (est: Rs14.1bn), EBITDA grew by 15% yoy to Rs2.4bn (est: Rs1.8bn), PAT increased by 6% yoy to Rs1.48bn (est: Rs1.2bn), strong beat across led by better than exp. vol growth and gross margin expansion. Decorative revenue growth was driven by double digit volume growth, higher than our estimate of high single digit volume growth. Industrial volumes were impacted due to weakness in automotive. Gross margins improved by ...
We attended Kansai Nerolac (KNPL) annual conference call. Following are the key takeaways Demand trends in decorative segment remain stable- Management indicated that it has not seen any significant drop in the decorative segment & the demand environment remains stable in rural/urban markets. Further, given the relatively lower penetration levels, it expects double-digit growth to continue in the decorative segment. It has been able to pass on the input cost inflation in the segment through pri...
Q4FY19 result highlights Standalone net sales increased by 4% yoy to Rs11.4bn (est: Rs12.4bn), EBITDA declined by 15% yoy to Rs1.4bn (est: Rs1.7bn), PAT decreased by 12% yoy to Rs0.9bn (est: Rs1.1bn). KNPL indicated that Q4 volume growth was lower than gross sales growth of ~5% yoy. Decorative volumes grew in high single digits while industrial volumes declined by ~5% yoy during the quarter. Industrial volumes were impacted due to negative volume growth in automotive and sluggishness in othe...
Q3FY19 result highlights Standalone net sales increased by 18% yoy to Rs13.4bn (est: Rs13.1bn), EBITDA declined by 9% yoy to Rs1.7bn (est: Rs1.9bn), PAT decreased by 10% yoy to Rs1.1bn (est: Rs1.27bn). Decorative revenues increased by ~23-24% yoy aided by volume growth of 18-19% yoy and benefit of price hikes. Industrial revenues increased by 10-11% yoy with a volume growth of ~9% yoy Gross margins declined by 550bps yoy (down 90bps qoq) largely on account of higher input costs, lack of pri...
Q2FY19 result highlights Standalone net sales increased by 10.7% yoy to Rs12.8bn (est: Rs13.5bn), EBITDA decreased by 14% yoy to Rs1.87bn (est: Rs2.3bn), PAT decreased by 16% yoy to Rs1.2bn (est: Rs1.5bn). Overall volume growth was ~9.5% yoy for the quarter. Gross margins declined by 500bps yoy (down 280bps qoq) largely on account of higher input costs, rupee depreciation and lack of price hikes especially in Industrial segment. Staff costs increased by 8% yoy and other expenses increased ...
Q4FY18 result highlights Standalone net sales increased by 17% yoy to Rs10.9bn (est: Rs10.7bn), EBITDA increased by 1.5% yoy to Rs1.64bn (est: Rs1.8bn), PAT decreased by 8.9% yoy to Rs1.05bn (est: Rs1.2bn). Revenue growth was led by double digit volume growth (~14%) as well as benefit of price hikes in the Decorative segment and industrial segment. Decorative volumes were driven by good growth across premium as well as mass end brands and was healthy across regions. Despite price hikes in d...
Q3FY18 result highlights Net sales increased by 13.4% yoy to Rs11.4bn (est: Rs11.7bn), EBITDA increased by 4.7% yoy to Rs1.86bn (est: Rs2.1bn), PAT increased by 1% yoy to Rs1.25bn(est: Rs1.4bn). Revenue growth of 13.4% yoy was led by double digit volume growth (~12%+) in the Decorative segment and pickup in growth to double digit levels in the industrial segment. Gross margins declined by 160bps yoy. Staff costs increased by 9.7% yoy and other expenses increased by 13.1% yoy. Resultant EBIT...
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