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.
IDBI Capital Report
Orient Paper (OPIL) reported another disappointing quarterly performance led by subdued demand for writing and printing paper and further softening of prices. The management took a prudent call to cut down production owing to lower demand in Q2 FY20, which resulted in lower sales volume.
The company reported net sales of Rs898 million, down by 43.4% YoY. Negative operating leverage weighed on Ebitda at negative Rs158 million, while net loss stood at Rs147 million. Our interaction with the management suggests that production has picked up from October, 2020 in anticipation of demand revival for writing paper.
The company’s newly launched copier paper witnessed good traction and the management expects it to do better as demand improves. We have cut our net sales/PAT estimates for FY21E/FY22E and introduce FY23E financials in this report.
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 brokerage 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