VIP Industries Q4 Results Review - Poor Bangladesh Operation Impede Performance: IDBI 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..IDBI Capital Report.VIP Industries Ltd.'s Q4 FY24 profitability were below our and street expectations. Net sales increased by 14% YoY to Rs 5.1 billion, exceeding our estimates by 2.3%. This growth was propelled by volume growth of 14% YoY, new launches and continued e-commerce growth trajectory. This is despite revenue decline of 49% YoY in Bangladesh operations. Nevertheless gross margins took a hit by 780 bps YoY to 50.1%, mainly due to underutilisation of Bangladesh facility. However, Ebitda margin contracted 1,275 bps YoY to 1.5%, mainly due to increased advertising expenses, one-time retrenchment cost and wage hike in Bangladesh operations. As a result, Ebitda fell 87.8% YoY to Rs 78 million and net loss came in at Rs 239 million. We lower our FY25/FY26 EPS by 21%/9% and value the stock at a PER of 35 times FY26 EPS to derive a target price of Rs 525 (earlier Rs 525) and maintain our Hold rating on the stock..Click on the attachment to read the full report:.Mahanagar Gas Q4 Results Review - Margin Weakness Offset By Stronger Volume Growth: Motilal Oswal.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."

VIP Industries Q4 Results Review - Poor Bangladesh Operation Impede Performance: IDBI Capital

VIP’s focus on premium segments has led to strong growth in Carlton.

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VIP Industries Q4 Results Review - Poor Bangladesh Operation Impede Performance: IDBI Capital

VIP’s focus on premium segments has led to strong growth in Carlton.

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