Ashok Leyland Q4 Review - Well-Poised To Capture Industry Tailwinds: ICICI Direct

The logo on the front grill of an Ashok Leyland Ltd. goods-carrier truck in Mumbai. (Photographer: Abhijit Bhatlekar/Bloomberg News)  

Ashok Leyland Q4 Review - Well-Poised To Capture Industry Tailwinds: 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

Ashok Leyland Ltd. reported an operationally strong Q4 FY21 performance.

Net sales came in at Rs 7,001 crore (up 82.4% YoY, 45.4% QoQ), with average selling prices climbing 10.3% sequentially to Rs 15.9 lakh/unit amid share of medium and heavy commercial vehicle within overall volumes rising to 60% versus 50% in the previous quarter.

Total volumes were at ~44,060 units, up ~31.9% QoQ.

Ebitda margins were at 7.6%, up 236 basis point QoQ despite ~250 basis points gross margin contraction as the company realised substantial operating leverage benefits.

Consequent profit after tax amounted to Rs 241 crore versus loss after tax of Rs 19 crore in Q3 FY21.

Click on the attachment to read the full report:

ICICI Direct Ashok Leyland Q4FY21 Result Update.pdf

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