Indian Oil, CreditAccess Grameen, Century Plyboards, Ami Organics Q4 Results Review: HDFC Securities

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. .HDFC Securities Institutional Equities.Indian Oil - Higher refining margin drives the beatOur optimism on Indian Oil Corporation Ltd. is premised on robust refining and marketing margins, offset by elevated debt owing to a rise in working capital requirement and capex. IOCL’s reported Ebitda stood at Rs 153 billion (+30% YoY, +4.3x QoQ), while the adjusted profit after tax stood at Rs 101 billion, coming in well above our estimate. The beat was largely on account of better-than-expected performance from the refining and petchem segments..CreditAccess Grameen - Classic ‘snowball’ effect at play CreditAccess Grameen Ltd. sustained its strong operating performance across vectors, driven by steady assets under management growth (+27% YoY), on the back of an uptick in disbursements (24% YoY, 48% QoQ), led by a balanced mix of new customer additions and higher ticket size, especially in the retail portfolio. Asset quality normalised with PAR-0/gross non-performing asset at 1.5%/1.2% and is likely to drive steady-state credit costs. CreditAccess Grameen is poised to sustain a combination of strong growth (~25% assets under management compound annual growth rate), low credit costs and sustained profitability in the medium term..Century Plyboards - India Strong show; recovery in ply and MDF margins We like Century Plyboards India Ltd. for its strong franchise (pan-India distribution, aggressive marketing, and a wide range of stock keeping units), leadership presence in most wood segments, market share gains and healthy return ratios. In Q4 FY23, Century’s consolidated revenue/ Ebitda/adjusted profit after tax rose by 7/2/30% YoY, mainly driven by a rebound in ply earnings. Its Ebitda rose 27% QoQ, led by a recovery of 350/300 bps margin QoQ in the ply/medium density fibre segments. Despite the expected margin pressure in MDF and particle boards during FY24/25E, we expect Century Plyboards to deliver a 15% Ebitda CAGR during FY23-25E..Ami Organics - Pricing in positives We like Ami Organics Ltd. owing to-the expansion of its speciality chemicals portfolio, the rising utilisation of the Gujarat Organics facility andthe strong product pipeline in its advanced pharma intermediate business. Ebitda/adjusted profit after tax were 14/11% above our estimates, mainly owing to lower-than-expected other expenses..Click on the attachment to read the full report:.Indian Oil Q4 Results: Profit Jumps On Higher Sales, Margin.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.

Indian Oil, CreditAccess Grameen, Century Plyboards, Ami Organics Q4 Results Review: HDFC Securities

IOCL’s reported Ebitda stood at Rs 153 bn, while the adjusted PAT stood at Rs 101 billion, coming in well above our estimate.

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