Page Industries Q3 Review - Dolat Capital Downwards Rating To 'Reduce', Lowers Target Price — Here's Why

Going ahead, focus on intensifying general trade distribution, expanding modern trade and exclusive brand outlets will help Page Industries' accelerate growth..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.Page Industries Ltd.'s Q3 FY25 revenue was below, while Ebitda/adjusted profit after tax were in line with our estimates. Revenue/Volume grew by a mere 7.1/4.7% YoY due to subdued demand conditions. Further, management is optimistic about a significant pickup in growth rate once the industry revamps, given its dominant position in the market. Gross margin expanded by 330bps YoY in Q3 FY25, led by lower raw material costs. Moreover, Ebitda margins expanded by 460 bps to 23.0% on account of operational efficiencies, cost control and strategic sourcing initiatives. Ebitda margins are expected to remain in 19-21% range.In order to factor in Q3 performance and management guidance of 19-21% margins in the long run, we have upward revised our FY25E EPS estimates by 4.1% at Rs 624 but downward revised FY26/27E EPS by 0.3/1.5% at Rs 730/845. A favorable base and anticipated increase in volumes should help to maintain Ebitda margins within range. Valuing the stock at 58x FY27E EPS we arrive at a target price of Rs 49,023 (Rs 49,777 earlier). Considering the recent run up in the stock price, we have downward revised our rating to ‘Reduce’.Click on the attachment to read the full report:.Page Industries Declares Interim Dividend Following Q3 Earnings.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.

Page Industries Q3 Review - Dolat Capital Downwards Rating To 'Reduce', Lowers Target Price — Here's Why

Considering the recent run up in the stock price, the brokerage has downward revised rating to ‘Reduce’.

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