BQ Blue’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 BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Prabhudas Lilladher Report
Hero MotoCorp Ltd.'s Q2 FY22 Ebitda margin surprised positively at 12.6% and came in above our estimate of 11.3% aided by improved product mix, higher exports (up 160% YoY in H1), multiple price hikes over the year (~Rs 3,000) and cost savings led by leap program (up 320 basis points YoY).
Festive season sales were subdued due to delayed monsoons and weak rural sentiments compared to urban markets.
We believe Hero MotoCorp will benefit in medium to long-term with:
focus on increasing export penetration,
improvement in rural sentiments driving demand for entry segment models and
further savings to be achieved through cost savings program.
However, success in electric vehicles remains main concern for Hero MotoCorp and a key factor to monitor. The company is one amongst front runners in EV race through its investment in Ather.
Click on the attachment to read the full report:
DISCLAIMER
This 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 author entity 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.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
POPULAR