Dolat Capital: Sharda Cropchem’s Asset Light Model, Rich Cash-Balance, Strong Registration Pipeline Augur Well For Growth
A farm worker sprays cotton plants with pesticides on the farm of Jarnail Singh in Jajjal village, Punjab, India. (Photographer Prashanth Vishwanathan/Bloomberg)

Dolat Capital: Sharda Cropchem’s Asset Light Model, Rich Cash-Balance, Strong Registration Pipeline Augur Well For Growth

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.

Dolat Capital Report

Sharda Cropchem Ltd. reported a strong Q2 FY21, Sales and Ebitda grew by 31% and 221.8% YoY to Rs 4.24 billion and Rs 638 million respectively.

Results were above our estimates (our sales and Ebitda estimates Rs 3.52 billion and Rs 437 million).

Profit after tax turned positive on a YoY basis to Rs 190 million. Gross margins showed an improvement due to benign raw material costs, by 412 basis points YoY.

Other expenses were kept under control, up only by 0.8% YoY to Rs 608 million.

Click on the attachment to read the full report:

Dolat Capital Sharda Crop Q2FY21 Result Update.pdf

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