Chemical Sector Q3 Results Preview - Some Cooling Off Imminent; Growth To Be Case Specific: ICICI Direct

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. .ICICI Direct Report.For Q3 FY23E, we anticipate a mixed picture for the our chemicals universe on the back of a contrasting demand environment across end user industries. While agrochem, pharma and some specific specialty chemicals players are likely to maintain their growth tempo, we expect a slowdown among packaging, pigments, dyes and polymer players. Moreover, prices of crude oil came off by ~11% over the course of quarter, which, in turn, may soften the cost of chemicals. We expect our coverage universe companies to report topline growth of 9.2% YoY. On the Ebitda front, we expect higher coal prices and a muted business environment in Europe (acting against price hikes) to continue to weigh in the quarter. We expect Ebitda margins of our coverage universe to decline YoY to down 4.1%. Bottomline for our coverage universe is expected to report de-growth of 11.8% YoY..Click on the attachment to read the full report:.Chemical Sector Q3 Results Preview - Healthy Revenue Growth, Margins To Support Earnings: Nirmal Bang.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.

Chemical Sector Q3 Results Preview - Some Cooling Off Imminent; Growth To Be Case Specific: ICICI Direct

Agrochem, pharma and some specific specialty chemicals players are likely to maintain their growth tempo.

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