Motilal Oswal: PI Industries’ Domestic Business Drives Q1 Growth

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.PI Industries Ltd. reported strong performance, led by growth in the Domestic business (up 76% YoY); growth was further aided by 23% revenue growth in custom synthesis and manufacturing (CSM).Operating leverage led to Ebitda margin expansion, partially offset by lower gross margins, weighed by higher share of Isagro Agrochemicals Private Ltd. and product mix changes.Revenue was up 41% YoY (including Isagro’s performance, which was absent in the base quarter) to Rs 10.6 billion (estimate Rs 9.2 billion).Ebitda was up 50% YoY to Rs 2.3 billion (estimate Rs 1.9 billion); Ebitda margins expanded 140 basis point YoY to 21.6% (estimate 20.2%), supported by operating leverage.The gross margin contracted 280 basis point to 42% due to Isagro’s contribution to sales and a change in the product mix.Adjusted profit after tax grew 43% YoY to Rs 1,455 million (estimate Rs 1,133 million); PAT growth was restricted, weighed by an increase in depreciation (up 45% YoY), increase in interest cost (up 4.2 times YoY), and lower other income (down 32% YoY). .Click on the attachment to read the full report:.DISCLAIMERThis 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 brokerage 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.

Motilal Oswal: PI Industries’ Domestic Business Drives Q1 Growth

Motilal Oswal: PI Industries’ Domestic Business Drives Q1 Growth

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