Kajaria Ceramics: Strong balance sheet helps weather storm
From an operational standpoint, Kajaria has the best in class operating metrics in the industry
August 26, 2020 / 10:12 AM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
The June quarter results of tile-manufacturer Kajaria Ceramics were rather disappointing as the ongoing industry issues had only been made worse by COVID-19. The company failed to cover its expenses and posted an operating loss during Q1 FY21.
Quarterly result highlights
Sales plunged 60 per cent year on year (YoY) to Rs 278 crore owing to the pandemic-led market closures. The company reported an operating loss on account of a negative operating leverage. Though the quarter was disappointing on most...