Centrum Broking: PI Industries’ CSM And Domestic Segment Growth Remained Strong In Q1

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Centrum Broking Report.PI Industries Ltd.’s consolidated revenue at Rs 10.6 billion, (up 40.6% YoY), is ahead of our estimate Rs 9.7 billion helped by strong domestic revenue of Rs 4.5 billion (up76% YoY, our estimate Rs 2 billion).Custom synthesis manufacturing (CSM) revenue of Rs 6.1 billion, up 22.6%, however came below our estimate of Rs 7.7 billion. Numbers were supported by Isagro Agrochemicals Pvt Ltd. revenues of Rs 990 million (up 13% YoY) and deferment of sales of approximately Rs 750 million from Q4 to Q1.While gross profit at Rs 4.5 billion (up 31.9% YoY) implies gross margins of 42%, (down 276 basis points YoY), reported Ebitda at Rs 2.3 billion (up 50.3% YoY) was supported by lower opex, beating estimates.Resultant, profit after tax of Rs 1.5 billion (up 43.2% YoY) beat our estimate Rs 1.3 billion. Given strong domestic growth guidance of 20% plus along with Isagro and 20% plus growth in exports, PI Industries appears set to deliver industry leading Ebitda/profit after tax compound annual growth rate of 28.2/39.1% over FY20-22E, underpinning our positive stance..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 brokerage 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.

Centrum Broking: PI Industries’ CSM And Domestic Segment Growth Remained Strong In Q1

Centrum Broking: PI Industries’ CSM And Domestic Segment Growth Remained Strong In Q1

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