Rating- BUY - All clear to improved industry profitability
时间:2024-06-26 18:26:16 阅读(143)
Ashok Leyland (AL) reported a robust performance in Q2, with a significant increase in Ebitda and recurring PAT by 29-32% q-o-q (2-3x y-o-y), aligning with Jefferies expectations. Volumes witnessed a notable growth of 10% y-o-y (+21% q-o-q), although ASP declined by 2% q-o-q. The Ebitda margin saw a substantial expansion of 120bp q-o-q, reaching 11.2%, primarily driven by operating leverage. The Ebitda/vehicle also reached an all-time high, rising by 9% q-o-q. The net debt showed a considerable reduction of 22% q-o-q to Rs 11bn, despite being higher compared to net cash at the end of FY23. Ashok Leyland anticipates an improvement in industry profitability in 2H, attributed to increased demand and a more favourable commodities environment.
Established in 1948, Ashok Leyland is the second-largest commercial vehicle manufacturer in India, boasting around 30% market share in medium and heavy commercial vehicles (MHCVs). The company has a diversified presence in buses, light commercial vehicles (LCVs), defence, and exports, and operates as part of the Hinduja Group. The price target of Rs 220 is derived from a 5.5x FY25 book value. Key risks to this outlook include a potential downturn in Indian truck demand.
猜你喜欢
- REC, PFC, HAL, SBI, RVNL, IRCON and more PSUs cross Rs 50 lakh crore market cap in total
- Nifty to top 19600 or US downgrade to drag- See GIFT Nifty, FII data, F&O ban, crude, more before market opens
- Nifty to top 17000 or extend losses- Check 7 things to know before market opens
- RIL, Axis Bank, Maruti Suzuki, Vedanta, Colgate, Infosys, Ultratech Cement, IndusInd Bank stocks in focus
- Nifty to trade in 17600-18300, Bank Nifty remains positive; watch out for these levels this week
- Quick service restaurants see 15-25% surge in sales this Diwali season
- Realme Book Slim laptop first look- Design, specs, features, and everything to know
- Reliance, HDFC Bank among 4 technical stocks to buy; charts suggest bullish trend going forward
- Rakesh Jhunjhunwala-owned Crisil share price jumps post results, more upside predicted; dividend announced