Hero Motocorp Q2 net seen up 2.6% at Rs 452 cr: P Lilladher
According to Prabhudas Lilladher, Hero Motocorp to report a 17.6 percent degrowth quarter-on-quarter (up 2.6 percent Y-o-Y) in net profit at Rs 451.8 crore.
October 23, 2013 / 09:59 IST
Prabhudas Lilladher has come out with its second quarter (July-September) earnings estimates for the automobile sector. The brokerage house expects Hero Motocorp (HMCL) to report a 17.6 percent degrowth quarter-on-quarter (up 2.6 percent Y-o-Y) in net profit at Rs 451.8 crore.
Revenues of Hero Motocorp are expected to decrease by 8.5 percent Q-o-Q (up 8.7 percent Y-o-Y) to Rs 5,636.3 crore, according to Prabhudas Lilladher.Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to fall by 13.8 percent Q-o-Q (up 9.7 percent Y-o-Y) to Rs 789.3 crore.EBITDA margin or operating profit margin is likely to be at 14 percent in June quarter as against 14.9 percent in March quarter and 13.9 percent in a year ago period.Prabhudas Lilladher's Report on Hero Motocorp:HMCL reported a 6.3 percent Y-o-Y growth in volumes on account of lower base of last year and pick up in rural sales. EBITDA margins are expected to be flat Y-o-Y on account of higher raw material cost (rupee depreciation of 8.0 percent) being negated by higher operating leverage. Tax rate is likely to increase to 27 percent v/s 16.3 percent Y-o-Y, thereby, resulting in a flat PAT Y-o-Y.Disclaimer: The views and investment tips expressed by investment experts 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. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
