Carysil Q3 concall –
High channel inventory during past months reducing, reaching optimum levels
Demand from US,UK improving. Europe – not so much due inflation
Started supplying to reputed builders locally
Acquired 60000 sq mtr land near own factory for expansion
Steel sinks capacity enhanced – almost doubled. To go live by Mar 23
Exporting PVD sinks to UK,France,Germany. Seeing strong demand. They have excellent aesthetic value
Faucets assembly line to go commercial by Q1 FY 24
Started ordering machines to make built in appliances – basically hobs and chimneys
Margins here likely to be similar to consolidated business
Launched green sinks ( made from waste materials ). Receiving good customer feedback
Q4 outlook looks good
Q3 EBITDA margins at 18 pc. Margins to improve as volumes pick up going fwd, which is very likely
Carysil Surface business doing better than initial expectations
Very bullish on Kitchen hoods and hobs category. Hiring entire new teams including IITians
Robust demand seen in Q4 in domestic mkt. Company building separate B2B team to tap builders and architects
Very hopeful of increased orders from Ikea and other global giants as the manufacturing costs in Europe soar. Ikea team visited, went away with positive feedback
Domestic mkt sales expected to grow at 30 pc + CAGR for next 3-4 yrs
Aim to hit 1000 cr revenues in FY 24 – this to me sounded like a bit too much!!! But, if achieved, can propel the stock to a different trajectory.
Overall – very bullish commentary.
Disc: invested, biased.
| Subscribe To Our Free Newsletter |
