Lumax Industries Q1 Review - Near Term Hiccups, Long Term Positive: Dolat Capital

The headlight of concept vehicle is seen. (Photographer: Michael Noble Jr./Bloomberg)

Lumax Industries Q1 Review - Near Term Hiccups, Long Term Positive: 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

Lumax Industries Ltd. reported a weak set of numbers in Q1 due to regional lockdown and chip shortage.

Revenue/Ebitda de-grew 38%/87% QoQ respectively. Ebitda margin fall by 782 basis points QoQ to 2% due to higher raw material cost and negative operating leverage.

Production is ramping up well with capacity utilisation at 85-90% in August.

Order book for September quarter also looks strong.

Management is looking at 10-15% industry growth in passenger vehicle segment and expects Lumax Industries to outperform industry and targeting revenue growth of 25-30% on the back of new business win and better mix.

Click on the attachment to read the full report:

Dolat Capital Lumax Industries Q1Y22 Result Update.pdf

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