GNA Axles Q3 Review - Short Term Blip, Recovery Is Ahead: Dolat Capital
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
GNA Axles Ltd. reported a weak set of numbers in Q3. Revenue came at Rs 3 billion (down 11% QoQ) led by weak class 8 truck numbers and muted tractor demand.
Semi-conductor shortages along with logistics side problems dragged down the export revenue. Ebitda de-grew 20% YoY to Rs 385 million with 147 basis points QoQ contraction in margin at 12.8%.
Expect export business to be strong for the next years as demand for class 8 truck is healthy and improvement in semiconductor supply will help in revival in class 8 truck production. Export tractor business also continues to be stable while domestic tractor market to see low single digit de-growth in FY23.
Click on the attachment to read the full report:
This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.