Anup reported robust Q2FY21 numbers with strong topline growth, improved orderbook and robust execution. Optically margins look to have deteriorated as the base quarter had one-off execution with free issue materials wherein the customer had supplied raw materials for the job. However, the management has asserted their guidance of sustaining 26% EBIDTA margins on a longer horizon. Revenue for the quarter came in at Rs 87 crore, up 40% YoY led by robust execution and strong order pipeline. The same grew 188% QoQ. EBIDTA came in at Rs18 crore, down 8% YoY entailing a margin of 21% vs. 32% YoY. Employee cost increased 20% YoY while other expenses declined 22% YoY. PAT declined 9% YoY to Rs 11.7 crore with a tax rate of 29%. During H1FY21, Anup registered a CFO of Rs ~35 crore and ended the half year with a cash balance of ~ 78 crore.
OutlookWe build in revenue, EBIDTA & PAT CAGR of 20.8%, 18.7% & 21.9% for FY20-22E, respectively. We maintain our BUY rating on the stock with a revised target price of Rs 750/share.
For all recommendations report, click hereDisclaimer: 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.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!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
Read More
