-
Commodity margin to be around Rs.30 level per kg in Q2. This is good as it is stable now at this level per Pankaj Poddar interview.
-
BOPET plant is live now. Next quarter we can see topline growth on both YoY basis and QoQ basis.
-
This quarter EPS will likely be subdued due to
a. Slightly lower commodity margin (~3% overall impact)
b. depreciation and interest for new plant
c. inventory losses as raw material prices have corrected this quarter. (Another 3% maybe)
d. Zigly losses as it has started scaling up. I would expect Zigly to be EBITDA -ve till FY24. (1%?)
How much these will be offset by higher speciality film volume (2%?) and higher sales in speciality chemicals is to be seen(1%?). Net net I expect a fall QoQ basis. (~5%). Q3 not likely to be impacted by 3a and 3c. And we should be able to see some contribution from new BOPET line.
-
Promoter purchase is surprising. Does it any way inhibit ability to do buy-back? Doing a buy back in next 2 quarters will be a smart move. If this hampers ability to do it - it will be pity. Given Euro weakness are they retiring some debt early? Maybe that.
-
The price is nearly 40% off ATH. All these are factored in and more IMO.
Note : Invested. No reco. DYOR.
Subscribe To Our Free Newsletter |