Pidilite Industries Q1 Review – Remarkable Result Amid The Second Covid-19 Wave: 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.

Pidilite Industries Ltd. reported a strong beat versus our estimate in its Q1 FY22 result, with sales down only 4% over Q1 FY20 levels, despite the lockdowns caused by the second Covid-19 wave.

Demand rebound was strong in June 2021 and continued to sustain in July 2021 as well.

While gross margin was adversely impacted in Q1 FY22 due to sharply higher vinyl acetate monomer costs (up two times YoY), leading to a 440 basis points YoY contraction in gross margin, there has been some reduction in VAM costs since April 2021.

Pidilite Industries’ management expects gross margin to improve in H2 FY22.

Click on the attachment to read the full report:

Motilal Oswal Pidilite Industries 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