Anand Rathi: Polycab India’s Faster Recovery Led To Strong Earnings Upgrade
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Anand Rathi: Polycab India’s Faster Recovery Led To Strong Earnings Upgrade

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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.

Anand Rathi Report

Faster traction in the high margin business to consumer segments (wires/fast moving electrical goods) and exports, premiumisation and cost-saving measures led to Polycab India Ltd.’s strong Q2 performance.

Controlled working capital and a healthy net-cash position (approximately Rs 6.3 billion) were other positives.

On the faster recovery, we now expect 8%/13% compound annual growth rates in revenue/profit after tax over FY20-22 with a 14% plus Ebitda margin.

Strategic moves (inventory reduction, channel financing, etc) will aid in long-term sustainable growth.

Click on the attachment to read the full report:

Anand Rathi Polycab Company Update.pdf

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