Nuvoco Vistas Q3 Results Review - Volume De-Growth A Concern; Downgrade To Accumulate: Dolat Capital

NDTV Profit’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 NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Dolat Capital Report.Nuvoco Vistas Corporation Ltd.'s revenue, volume in line, however realisation, Ebitda, Ebitda/tonne and adjusted profit after tax above estimates. Nuvoco Vistas posted -7% YoY/ -5.9% QoQ revenue to Rs 24.2 billion due to -10.7%/ - 10.1% YoY/ QoQ decline in volume to 4.0 million tonne, which was partially offset by +3.4%/ +4.2% YoY/ QoQ increase in realization/tn to Rs 5,428. Ebitda +53.0%/ +24.4% YoY/ QoQ to Rs 4.1 billion. Adjusted profit after tax sharply increased YoY to Rs 310 million in Q3 FY24 versus Rs 756 billion net loss in Q3 FY23.We expect 6.2%/ 20.2% revenue/ Ebitda compound annual growth rate over FY23-26E led by -2.5%/ 10.1%/ 7.5% volume growth and 2.6%/ 0.9% (lower versus H2 FY24)/ 0% cement realisation growth in FY24E/ FY25E/ FY26E. However, we expect significant improvement in APAT to Rs 5.3 billion in FY26E versus Rs 479 million net loss in FY23. We decrease our Ebitda estimates for FY24E/ FY25E/ FY26E by 8.8%/ 7.6%/ 5% factoring lower volumes. We downgrade from 'Buy' to Accumulate with a revised target price of Rs 403 based on eight times consolidated FY26E enterprise value/Ebitda..Click on the attachment to read the full report:.Dalmia Bharat Q3 Results Review - JPA Acquisition Key For Pan India Aspiration: Yes Securities.DISCLAIMERThis report is authored by an external party. NDTV Profit 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 NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Nuvoco Vistas Q3 Results Review - Volume De-Growth A Concern; Downgrade To Accumulate: Dolat Capital

As we factor volume de-growth to continue for next two quarters, we downgrade from Buy to Accumulate

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