Fine Organic Q1 Review – Demand Outlook Strong; Margins To Remain Subdued: Motilal Oswal

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Fine Organic Industries Ltd. reported in-line revenues, while the gross margin stood at 31%, the lowest in the last 16 quarters.

A broad trend was seen across companies due to a surge in freight costs, coupled with a rise in raw material costs.

Ebitda at Rs 499 million was a marginal beat of 7% on our numbers, with marginal decline in Ebitdam sequentially from 14.3% to 13.9%.

Lower-than-expected depreciation resulted in a more pronounced beat of 16% on profit before tax and 21% on profit after tax.

Higher disposable incomes, coupled with the rising trend of eating healthy, are expected to drive the global food additives market, with this trend catching up in India too.

With its strong research and development capabilities, Fine Organic stands to benefit from these trends.

Click on the attachment to read the full report:

Motilal Oswal Fine Organic Q1FY22 Result Update.pdf


This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Most Related Links :
reporterwings Governmental News Finance News

Source link

Back to top button