BQ Blue'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 BloombergQuint's subscribers an opportunity to expand their understanding of companies, sectors and the economy.
IDBI Capital Report
Sona BLW Precision Forgings Ltd. reported in line Q3 FY22 financials. It sales grew by 1% YoY to Rs 4.9 billion (3% below our estimates) and profit after tax grew by 3.5% YoY to Rs 864 million (19% above our estimates).
Sales growth was muted primarily on account of sharp decline in its key markets (European and USA passenger vehicle market) due to chip shortages.
However the company continued to ramp up its electric vehicle business whose contribution grew to 29% of its sales (up 108% YoY).
It booked four new EV programs from three new customers. Its order book increased by 29% QoQ to Rs 176 billion (~eight times FY22 sales).
We continue to believe that Sona BLW is likely to be fastest growing India based auto ancillary company with 46% profit after tax compound annual growth rate over FY22-24E.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BloombergQuint 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 BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
