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Brokerage houses expect increase in employee costs and other expenses to weigh on financials as well.
Market beta (sensitivity to broader index) of various FMCG stocks are well below one, which means they decline or rise less in times of market wide correction or upsurge phases, respectively
Net Sales are expected to increase by 13.5 percent Y-o-Y to Rs. 2,890 crore, according to HDFC Securities.
While improved margin profile would be moderated by increased competitive intensity, the recent decline in stock prices offer some opportunity to keep an eye on
While early analysis suggested the high volume growth could have been just a base impact, a deep dive into the numbers shows it is not so.
Net Sales are expected to increase by 11.3 percent Y-o-Y (down 0.7 percent Q-o-Q) to Rs. 2,519.5 crore, according to KR Choksey.
Net Sales are expected to increase by 13.5 percent Y-o-Y to Rs. 2,540 crore, according to HDFC.
Its net profit rose 24.8% on year to Rs 263.2 crore for the quarter ended March 31, beating estimates.
Net Sales are expected to increase by 14 percent Y-o-Y (down 1.2 percent Q-o-Q) to Rs. 2,381.8 crore, according to Prabhudas Lilladher.
Net Sales are expected to increase by 20.6 percent Y-o-Y (up 8.8 percent Q-o-Q) to Rs. 2,794.3 crore, according to KR Choksey.
Net Sales are expected to increase by 11.5 percent Y-o-Y to Rs. 2,502 crore, according to HDFC Securities.
Britannia has posted a good performance in Q3, in-line with expectations. The highlight is the 13 percent volume growth compared to expectations of 9-11 percent. In an interview with CNBC-TV18, Varun Berry, MD of Britannia Industries spoke about the results and his outlook for the company.
The total income could jump over 8 percent at Rs 2,663 crore against Rs 2,456.1 crore.
Margin is likely to be more important than topline as revenue will see GST impact, raw material inflation was softer than expected and price hike (7-8 percent in Q4FY17).
Net Sales are expected to increase by 8.6 percent Q-o-Q (up 2 percent Y-o-Y) to Rs 2402.38 crore, according to KR Choksey. Britannia to report net profit at 227.29 crore up 19.4% quarter-on-quarter.
Net Sales are expected to decrease by 0.6 percent Q-o-Q (up 9 percent Y-o-Y) to Rs 2441.84 crore, according to KR Choksey.
According to Sanjiv Bhasin of IIFL there is a lot of pessimism around the third quarter earnings but he expects banks to be in a sweet spot.
Bakery and dairy products maker Britannia Industries on Monday reported a 5.79 percent increase in consolidated net profit at Rs 233.95 crore for the second quarter ended September 30, 2016. The company had posted a net profit of Rs 221.13 crore in July-September period a year-ago, Britannia Industries said in a BSE filing.
During the quarter, EBITDA is seen growing 10.3 percent at Rs 358 crore against Rs 325 crore while margins may stand at 14.7 percent versus 14.7 percent year-on-year (YoY).
The house currently has a target price of Rs 3050 on the stock and earnings per share estimate Rs 90 for FY18, said Jubil Jain of PhillipCapital.
During the period, EBITDA is seen up 6.1 percent at Rs 306 crore versus Rs 288.4 crore while margins may slip 50 basis points at 13.8 percent versus 14.3 percent year-on-year.
Net Sales are expected to up 8.8 percent Y-o-Y to Rs 2178.7 crore, according to Axis Securities
The company has had tailwinds in its premium product segment growth in the quarter gone by, says Varun Berry, MD of Britannia Industries.
Gross margin is likely to flat due to rising input costs especially in sugar and flour prices. Robust advertising spends may also slightly mitigate expansion. Cost saving measures, however will continue to aid margins.
Analysts polled by CNBC-TV18 say re-launch of Good Day and Pure Choco Lush may push earnings. Volume is seen at 8-11 percent. Milkbikkis and Tiger are also seen to have made inroads in the Indian hinterland while marketing efforts may provide further impetus to revenues.