Praj Industries Q3 Results Review - Robust Opportunities Across The Bio-Economy: Prabhudas Lilladher

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..Prabhudas Lilladher Report.We revise our FY24/25/26E earning per share estimates by -5.2%/+2.1%/+ 9.2% factoring in lower execution this year followed by strong pipeline of opportunities across segments going forward and upgrade to ‘Buy’ rating from 'Accumulate' with a revised target price of Rs 647 (Rs 611 earlier). Praj Industries Ltd.’s reported mixed quarterly performance with revenue declining 9.1% YoY, while Ebitda margin expanded by 220 basis points YoY to 11.6%. Restriction on use of sugar syrup in ethanol production delayed execution (syrup-based contracts account for Rs 2.5 billion in the order book); however, we believe this is likely a temporary phenomenon. The company is aiming for three times revenue growth by 2030 driven by significant opportunities in exports (energy transition and climate action across the globe, low-carbon ethanol for SAF in U.S., etc.), ~Rs 370 billion investment pipeline in CBG, and alternative feedstock in 1G and 2G ethanol..The stock is trading at a price/earning of 25.0 times/19.9 times FY25/26E. We roll-forward to December- 25, valuing the stock at a P/E of 28 times December- 25E (30 times September- 25E earlier). Upgrade to ‘Buy’..Click on the attachment to read the full report:.Emami Q3 Results Review - Weak Trend Continues; Downgrade To Accumulate: Nirmal Bang.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.

Praj Industries Q3 Results Review - Robust Opportunities Across The Bio-Economy: Prabhudas Lilladher

Lower execution in Bio Energy drives revenue decline.

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