SIS Q4 Review - Compelling Valuations; Rerating To Follow Growth In FY22: Motilal Oswal
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.
Motilal Oswal Report
Security and Intelligence Services Ltd. reported a mixed Q4 performance, with strong growth of 10.7% year-on-year (led by the International business), compensated by weaker-than expected margins (down 120 basis point quarter-on-quarter) – on account of:
An increase in selling general and administrative expenses (growth expectation pre-second wave).
A one-time gratuity accounting impact.
While the increase in virus cases and accompanying restrictions would impact business recovery in FY22, the company’s March growth (up 15% YoY) should reassure investors of its ability to weather the impact on business owing to its business and geographical diversification.
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.