CCL Products’ Gross Margin Expand On Better Product Mix In Q3: IDBI Capital  
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CCL Products’ Gross Margin Expand On Better Product Mix In Q3: IDBI Capital  

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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.

IDBI Capital Report

CCL Product Ltd.’s Q3 FY21 sales was weaker than our forecast due to lower than expected offtake.

Its net sales was 11% below our estimate at Rs 2,962 million (up 2% YoY) as offtake was affected by logistics issues.

Nevertheless, gross margin expanded 386 basis points to 55.0% in Q3 FY21 indicating an improvement in product mix.

However, other expenditure jumped 37% YoY to Rs 745 million and resulted in a drop in Ebitda by 18% YoY to Rs 688 million.

Ebitda margin contracted 458 basis points YoY to 23.2%.

Click on the attachment to read the full report:

IDBI Capital CCL Products Q3FY21 Result Update.pdf

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