Lower Limeroad losses, greater operational efficiencies and better offline margins drove a 166bp y/y higher EBITDA margin to 14.3% (~200bps above ARe and consensus). SSSG was 1%, hurt by advance Eid sales, an early monsoon and market sluggishness. Vmart’s apparel ASP grew 2%. However, Unlimited’s fell 3% led by focus on more value offerings.
Marks meaningful step forward in realization group strategic vision. Simplification of group structure and realign corporate structure to unlock synergy and enhance competitive edge. Gabriel India to play pivotal role in the transformation serving as group’s vehicle for future growth and platform. We lift our EPS by 36% for FY27 on EPS accretive acquisitions. We recommend a Buy rating at a sum-of-TP of Rs1,400 (earlier 770, 32x FY27e EPS), 32x on consol FY27e EPS of Rs32.5 (Rs1,040), future group consolidation (Rs260) and M&A potential (Rs100). Refer fig 18 for details
We recently hosted in Mumbai the Indraprastha Medical management for an NDR. Key takeaways: a) discussion with the Delhi government for a stake sale in progress; timelines not defined, b) capacity increase with 350 beds at existing location likely to commence by mid-CY28, c) plans for further capacity expansions in place; awaiting board approvals, d) next SC hearing on scrutiny regarding EWS slated for 30th Jul’25. The stock is our top Buy in the space with a Rs590 TP (16x FY27e EBITDA) as we believe the (part or entire) stake likely to be sold by the Delhi government in the medium term, which should result in a re-rating for the name-opening avenues for further growth at old and new locations
Incorporated in 1985, Bansal Wire is the second largest manufacturer of steel wire in India and the largest stainless steel wire manufacturer. With five plants in north India it expects to raise consolidated capacity ~2.5x to 0.679m tonnes, surpassing Tata Steel’s ~7-8% market share in steel wiring. It is venturing into high-growth, high-margin steel cord, low relaxation prestressed concrete and bead wires
Driven by re-staging ‘Smart and Handsome’ in Q3 FY25 and ‘Kesh King’ (planned) in Q2 FY26, and D2C brands (TMC, Brillare) growth returning post management transition, we expect a 7% volume CAGR for Emami over FY25-27 (5% in FY25). The focus on innovation with 25 launches in FY25 and likely inorganic growth (Rs7.5bn cash on the Balance Sheet) should further support the growth outlook. The recent fall in prices of crude oil should keep input cost favourable, expanding margins (110bps over FY25-27). This should drive a 14% EPS CAGR over FY25-27; hence, we find the present valuation of 24x FY27e P/E attractive (a 37% discount to peers). Our TP of Rs840 implies 35x FY27e EPS
The company is on a robust growth trajectory and remains confident in its ability to drive sustainable growth going forward, supported by its strong R&D capabilities. The ‘Metering & Systems’ segment is expected to be the key growth driver, with strong traction and an efficient execution cycle. Leveraging its competitive strengths, the company is well-positioned to capitalize on emerging opportunities in the smart meter space. We maintain our BUY rating on the stock with an unchanged target price of ₹710 per share
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