Greenply Industries Q4 Review - Gabon Unit Disappoints; Balance Sheet Strengthens Further: ICICI Securities

Decorative veneers manufactured by Greenply Industries Ltd. (Source: Company website).

Greenply Industries Q4 Review - Gabon Unit Disappoints; Balance Sheet Strengthens Further: ICICI Securities

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ICICI Securities Report

Greenply Industries Ltd. has reported lower-than-estimated profit before tax of Rs 392 million (Rs 430 million), up 106%/16% YoY/QoQ led by disappointing Ebitda margin at 11.5% (our estimate: 12.7%), down 80 basis points QoQ.

Gabon revenue and Ebitda margin took a sharp dive in Q4 FY21 led by continued issues in container availability.

The silver lining was plywood growth of 16% QoQ and 20 basis points higher Ebitda margin QoQ at 13%.

Management continued strengthening balance sheet with working capital days at 53 days versus 78 days YoY and reduction in consolidated debt from Rs 2.67 billion to Rs 1.92 billion YoY.

Click on the attachment to read the full report:

ICICI Securities Greenply Industries Q4FY21 Results Update.pdf

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