February 07, 2017 / 12:33 IST
Plywood and allied division revenues grew 13.6% YoY to Rs 300.5 crore despite demonetisation mainly led by volume growth. Plywood division volumes grew 7.2% YoY to 47590 CBM. Furthermore, sales volume of its mid-category brand ‘Sainik’ came in at 11819 CBM while premium plywood volumes came at 35771 CBM.
OutlookIn FY19E, we expect the topline, bottomline to grow 20.3%, 24.1% YoY to Rs 2594.5 crore, Rs 275.7 crore, respectively, with full contribution from the high margin MDF division. Consequently, we expect topline, bottomline to grow 16.1%, 17.9% CAGR, respectively, in FY16-19E. We roll over our valuation to FY19E & continue to maintain our BUY rating on stock with a revised TP of Rs 250 (20x FY19E EPS).
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