Action Construction Equipment - Robust Q4 Performance But Small Bump Ahead: ICICI Direct

Mobile cranes manufactured by Action Construction Equipment Ltd. (Source: Company website).

Action Construction Equipment - Robust Q4 Performance But Small Bump Ahead: ICICI Direct

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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.

ICICI Direct Report

Action Construction Equipment Ltd. reported robust Q4 FY21 numbers led by strong performance from all segments.

Margins improved on a YoY basis but were down sequentially on account of higher input cost.

Revenue for the quarter came in at Rs 457.4 crore, up 49.7% YoY, 14% QoQ.

Gross margins contracted ~239 basis points YoY, ~156 bps QoQ on account of the recent run up in steel prices.

Employee cost was down 18% YoY while other expenses increased 30% YoY.

Consequently, Ebitda increased 82.4% YoY to Rs 50 crore with an expansion of ~196 bps YoY and contraction of 36 bps QoQ in Ebitda margins which came in at 10.9%.

Click on the attachment to read the full report:

ICICI Direct Action Construction Company Update.pdf

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