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.
Motilal Oswal Report
MRF Ltd.'s Q4 FY23 revenue/Ebitda/adjusted profit after tax increased by ~10%/60%/1.26 times YoY to Rs 57.2 billion/Rs 8.4 billion/Rs 3.5 billion. FY23 consolidated revenue/Ebidta/adjusted profit after tax grew 19%/17%/15% YoY.
Revenue rose 10% YoY to Rs 57.25 billion (inline) likely on the back of stable domestic demand and price hikes. Consolidated export revenue improved 5% YoY to Rs 18.8 billion for FY23.
MRF's gross margin expanded 490 bps QoQ/YoY to 37% due to lower raw material costs and price hikes.
The above factors, coupled with lower employee costs, led to a 460 bps YoY/480 bps QoQ expansion in Ebitda margin to 14.7% (estimate: 11.9%). Ebitda grew 60% YoY to Rs 8.4 billion (our estimate: Rs 6.9 billion).
There was an extraordinary item of income tax impact on account of a refund from a wholly owned subsidiary amounting to Rs 803 million. Despite higher tax, adjusted profit after tax jumped 1.26 times to Rs 3.5 billion (estimate: Rs 2.75 billion).
The board has declared a special dividend of Rs 169 per share. The total dividend for FY23 stood at Rs 175 per share.
Click on the attachment to read the full report:
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.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.