Plastic cos to post healthy revenue growth: Dolat Capital

Dolat Capital has come out with its earnings estimates on plastic space for December quarter FY13. According to research firm, the outlook for the sector continues to look encouraging with verticals like pipes, packaging films and custom moulding segments expected to show better performance.

We believe plastic companies are likely to post healthy revenue growth on back of strong volume growth expectations.

Plastic Pack as whole is likely to witness expansion in margins YoY on account of lower base effect YoY (Margins were lower YoY due to higher input costs backed by sharp rupee depreciation).

We continue to stay positive on Supreme Industries & Astral Poly backed by superior business models and strong product profile.

	Sales (Rs mn)			PAT (Rs mn)
	Q3FY13E	QoQ %	YoY %	Q3FY13E	QoQ %	YoY %
Supreme Ind	8,500	39.2	19.2	600	54	59.4
Sintex Ind	12,450	5	7.5	811	12.1	-1.3
Time Techno	4,700	8.8	18.2	294	10.1	24.3
Astral Poly	1,953	27.9	43.2	129	34.8	45.4

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.