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Kotak Institutional Equities expects revenues to decline by 57 percent YoY, mostly in line with volume decline, and profit to fall 62 percent in quarter ended June 2020.
Revenue from operations declined 34.8 percent year-on-year, which was ahead of Street estimates, to Rs 9,005 crore in Q4FY20.
The management expects demand to remain in the negative zone in first half of FY21 and the recovery would also be slow, once the operations start post COVID-19 situation.
The strategy has gone awry as the outbreak has disrupted the global economy and pushed the world to the verge of a global recession
The new product developed in collaboration with M&M will bring synergies to the organization.
Kotak expects EBITDA margin to decline by 120 bps YoY in the September quarter due to negative operating leverage.
Net Sales are expected to decrease by 11.7 percent Y-o-Y (down 11.8 percent Q-o-Q) to Rs. 11,297.9 crore, according to Reliance Securities.
Net Sales are expected to decrease by 13.3 percent Y-o-Y (down 12.9 percent Q-o-Q) to Rs. 11,260.3 crore, according to ICICI Direct.
"With pick-ups being lower, we expect M&M's standalone revenues to dip 5.4 percent YoY / 9 percent QoQ," said Prabhudas Lilladher.
Net Sales are expected to decrease by 4.9 percent Y-o-Y (down 8 percent Q-o-Q) to Rs. 12,703.3 crore, according to Kotak.
Net Sales are expected to decrease by 5.4 percent Y-o-Y (down 8.9 percent Q-o-Q) to Rs. 12,788.4 crore, according to Prabhudas Lilladher.
M&M management guided for single digit growth (5 percent) in tractors in FY20 and expects a decline in tractor industry in Q1
Net Sales are expected to decrease by 2.6 percent Y-o-Y (down 0.9 percent Q-o-Q) to Rs. 12,957 crore, according to Prabhudas Lilladher.
Auto universe is expected to report a 28 percent YoY PAT decline on a modest base – a fourth consecutive quarter of double-digit PAT decline, Motilal Oswal said
The stock is worth accumulating for long-term investors as its strong leadership in FES, revival riding on rural growth and a slew of new launches provide earnings visibility
Net Sales are expected to increase by 13 percent Y-o-Y (up 1.6 percent Q-o-Q) to Rs. 12,989.7 crore, according to Motilal Oswal.
Challenges relating to tight liquidity and low buying sentiment continue to weigh on sales growth.
The stock is worth accumulating for the long term given its strong leadership in farm equipment segment (FES), revival in rural growth, a slew of new launches and reasonable valuations