JBM Auto Q2 Results Review - Firing On All Cylinders: Dolat Capital

Strong upcycle for PVs for next two years; encouraging revenue potential in tooling business, increasing scale in bus division.

Staff at JBM Auto Ltd. auto components manufacturing facility. (Source: Company website) 

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. 

Dolat Capital Report

JBM Auto Ltd. printed a remarkable performance in Q2. Net revenue jumped 19% QoQ to Rs 10.3 billion led by 59% QoQ growth in the original equipment manufacturer business (bus division), 12% in component business, and 74% in tooling division.

Operating margin stood at 9.9% (up 20 bps QoQ).

We maintain positive view on JBM Auto led by-

  1. strong upcycle for passenger vehicles for next two years;

  2. encouraging revenue potential in the tooling business (high margin up 25%) and

  3. increasing economies of scale in the bus division.

Click on the attachment to read the full report:

Dolat Capital JBM Auto Q2FY23 Result Update.pdf
Read Document

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

lock-gif
To continue reading this story
Subscribe to unlock & enjoy all Members-only benefits
Still Not convinced ?  Know More
Get live Stock market updates, Business news, Today’s latest news, Trending stories, and Videos on NDTV Profit.
GET REGULAR UPDATES