Bajaj Electricals Q4 Review - Soft Rural Demand, High Input Costs Suppress Earnings: Centrum Broking

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..Centrum Broking Report.Bajaj Electricals Ltd.’s Q4 FY22 sales grew 5% YoY to Rs 13.2 billion, below our estimate of Rs 14.6 billion. Consumer Products sales grew only 6% YoY to Rs 10.3 billion as subdued rural demand and lower e-commerce offtake resulted in flattish volume. Engineering, procurement and construction sales grew 5% YoY to Rs 2.9 billion led by cautious projects execution. Input cost inflation led to 370 bps YoY and 150 bps QoQ decline in gross margin to 25.2%. Ebitda margin fell 120 bps YoY to 4.5%, below our estimate of 7.3%. Ebit margin of consumer products fell 250 bps YoY to 6.3% as Bajaj Electricals could not take price hike due to subdued demand. EPC posted positive Ebit margin of 2.4% led by disciplined execution and receivables collection..Click on the attachment to read the full report:.DISCLAIMERThis 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.

Bajaj Electricals Q4 Review - Soft Rural Demand, High Input Costs Suppress Earnings: Centrum Broking

Bajaj Electricals Q4 Review - Soft Rural Demand, High Input Costs Suppress Earnings: Centrum Broking

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