Ceat Q3 Review - Margin Pressure To Continue: Reliance Securities

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..Reliance Securities Report.Ceat Ltd. delivered a highly subdued performance in Q3 FY22, with Ebitda margin coming in at 5.6% versus our estimate of 8.9% due to lower-than-expected sales and sharp commodity cost inflation. Ebitda decreased by 59% YoY (down 39% QoQ) to Rs 1.3 billion (40% lower than our estimate), owing to higher raw material/sales. Its volume declined by 6% YoY (down 2% QoQ) due to: lower original equipment manufacturer demand andlower volume in the replacement market (commercial vehicle and off-the-highway segment). Ceat’s consolidated revenue rose by 9% YoY to Rs 24.1 billion, due to price hikes, despite volume decline. The company reported a net loss of Rs 200 million and an adjusted net loss of Rs 158 million as against adjusted net profit of Rs 1.4 billion in Q3 FY21 and Rs 423 million in Q2 FY22. .Click on the attachment to read the full report:.DISCLAIMERThis 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.

Ceat Q3 Review - Margin Pressure To Continue: Reliance Securities

Ceat Q3 Review - Margin Pressure To Continue: Reliance Securities

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