While its difficult to project the margins in such cases, but I think it will be fair to assume that it will not go below 22-23%. Also, the net debt should be close to 2200 Cr. Also, in yesterday’s interview they have maintained the topline target of 7000Cr+ for FY 24. In the interview they have mentioned that the capacity utilisation of acquired corrugated boxes is ~60% and they will target to improve till 70% (which is considered as peak).
Also, your observation of more institutional holding is making the shareholding into stronger hands – which should be considered as positive. I also liked that the company increased dividend to 8 Rs.
Anyways, while near term triggers are missing this company size and its efficiency and diversification in terms of the plant location and product offerings will make it a strong leader.
| Subscribe To Our Free Newsletter |
