Motilal Oswal: Godrej Agrovet - Lower Raw Material Costs Drive Margin Expansion For Yet Another Quarter
Godrej Agrovet range of products. (Source: Company website)

Motilal Oswal: Godrej Agrovet - Lower Raw Material Costs Drive Margin Expansion For Yet Another Quarter

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Motilal Oswal Report

Godrej Agrovet Ltd. reported a decline in revenues in Q2 FY21. However, the Ebitda margin expanded due to lower raw material costs, leading to 45% Ebitda growth.

Significant margin expansion was seen across segments, barring standalone crop protection.

We increase our earnings estimate for FY21/FY22E by 10%/11%, primarily on account of lower raw material cost for the animal feed segment and better margins in palm oil and milk.

Click on the attachment to read the full report:

Motilal Oswal Godrej Agrovet Q2FY21 Result Update.pdf

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