Even as demand shoots through the roof, manufacturers feel full production capacity utilisation is unlikely as they are not confident of the chip supply situation in the future. Long wait times may be around for a little longer.
Vaibhav Sanghavi, Managing Director at Ambit Investment Advisory, explains: "We expect earnings to grow by 20% in FY17 and 12% this year. So going by sheer earnings growth, even without a massive re-rating in the markets, cumulatively we will grow 32-33% in two years, which takes the index number from 8500 to 11000."
Anuh Pharma is looking at a revenue growth of 25 percent in FY16. Current capacity utilization stands at 65 percent and the company aims to increase it to 80 percent his fiscal year.
In an interview with CNBC-TV18's Mangalam Maloo, Star Ferro and Cement CEO Sanjay Gupta said demand for cement in the North East has seen an uptick. "In the past few months, it has grown at 8-8.5 percent," he said.
Nilesh Shah, Envision Capital says Infy might be one of the few companies with capacity utilization of less than 80 percent, but if it crossed 80 percent then it could lead to margin expansion.
Anant Goenka, Dy MD, CEAT Ltd expects FY13 to be a much better year with the company’s Halol plant close to full capacity utilization. He is looking at about 25% growth in revenues in FY13.
Wholetime director of JK Lakshmi Cements, Shailendra Chouksey says that the board has priced the share buyback at an upper limit of Rs 70 per share.
Kapil Mehan, managing director of Coromandel International, says that the proper regulatory permissions for increasing Sabero’s capacity is in place, so the company will go back to its normal profitability in a few quarters.
In an interview with CNBC-TV18’s Reema Tendulkar and Ekta Batra, Pratap Reddy, MD, Balaji Amines spoke about the results and his outlook for the company.
In an interview with CNBC-TV18’s Latha Venkatesh and Gautam Broker; Ashish Guha, MD of Heidelberg spoke about the latest happenings in his company and sector.