MM Forging’s Q3 Margin Below Estimates; Outlook Remains Positive: IDBI 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.
IDBI Capital Report
MM Forgings Ltd.’s Q3 FY21 result was ahead of our estimates on all parameters except Ebitda margin which stood at 15.2% versus our estimates of 17.6% due to lower export sales and relatively higher operating expenses.
Currently revenue contribution from export market for the company is approximately 52% whereas North America/European contributes ~20%/22% respectively.
We believe NA/European market hit hard due to Covid-19 and recently announced lockdown in European countries and possible lockdown in U.S. region would impact Q4 FY21 numbers.
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.