Motilal Oswal: Corporate India Doubles Down On Cost Control

Earnings of most Nifty 50 companies were better-than-expected in the July-September quarter of FY21 due to cost control measures.

Index graphs run across a computer screen on the investment floor at Aviva Investors, in London, U.K. (Photographer: Jason Alden/Bloomberg News)

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.

Motilal Oswal Report

In the recently concluded Q2 FY21 results, both Nifty and our universe reported broad-based earnings beat, leading to healthy 9-10% earnings upgrades in FY21 estimates for both sets of aggregates.

One of the key and defining features of this performance was the better-than expected focus on cost mitigation measures, apart from demand recovery and a healthy tailwind from gross margin expansion.

In this note, we analyse the cost components in slightly greater detail and highlight various elements pertaining to these.

Click on the attachment to read the full report:

Motilal Oswal India Strategy 251120.pdf
Read Document

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.

lock-gif
To continue reading this story
Subscribe to unlock & enjoy all Members-only benefits
Still Not convinced ?  Know More
Get live Stock market updates, Business news, Today’s latest news, Trending stories, and Videos on NDTV Profit.
GET REGULAR UPDATES