ADVERTISEMENT

CCL Products Q3 Results Review - Strong Order Book Guidance: Axis Securities

CCL Products' Q3 reported consolidated revenue growth of 26.5% YoY to Rs 535 crore, was ahead of our estimates.

<div class="paragraphs"><p>Coffee beans. (Photo: Tina Guina/ Unsplash)</p></div>
Coffee beans. (Photo: Tina Guina/ Unsplash)

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. 

Axis Securities Report

CCL Products India Ltd.'s Q3 FY23 reported consolidated revenue growth of 26.5% YoY (~4-5% volume growth) to Rs 535 crore, was ahead of our estimates. However, the volume growth was muted on account of shut down taken in India facility.

Gross margins stood at 43.7%, down 452 basis points YoY, on account of lower volume growth. Ebitda grew 9% YoY and Ebitda margins at 21.9%, which was down 305 bps YoY owing to negative operating leverage.

Interest cost increased 200% YoY to Rs 11 crore on account of higher interest cost and increase in working capital requirement. Profit after tax came in at Rs 73 crore, which grew by 25% YoY on account of lower tax.

Management highlighted tax rate for FY23-24 at 12-22%.

Click on the attachment to read the full report:

Axis Securities CCL Products-Q3FY23-Result Update.pdf

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.