Somany Ceramics Q4 Review - Walking The Talk: ICICI Securities
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.
ICICI Securities Report
We believe Somany Ceramics Ltd. is on the cusp of major rerating with the management walking the talk on several key issues (which led to significant de-rating in the past) including:
Cleaning up of balance sheet over the last few quarters including fully providing for its investments in SREI Infra bonds in Q4 FY21 as a prudent accounting practice (despite no stress at the moment).
Its strong cashflow management driven by superior working capital discipline.
Calling off its treasury operations by recalling all the inter-corporate deposits and utilising it to pay off its debt.
Correcting major flaws in its systems and processes by introducing appropriate checks and replacing few key managerial personnel.
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.