X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2018 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Marico: Profiting From Lower Input Cost Scenario - Views on News from Equitymaster
StockSelect
  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Marico: Profiting From Lower Input Cost Scenario
May 6, 2016

Marico declared results for the quarter ended March 2016. The company's consolidated revenues were up by 7% YoY during the quarter, while profits grew by 26% YoY. Here is our analysis of the results:

Performance summary
  • Revenues rise by 7% YoY during quarter ended March 2016.
  • Operating profits rise by 27% YoY as margins expand to 16.6% from 14% last year.
  • Net profits up by 26% YoY during the quarter, in line with the growth in operating profits.
  • During FY16, revenues and profits rise by 7% YoY and 26% YoY respectively.

    Consolidated financial performance
    (Rs m) 4QFY15 4QFY16 Change FY15 FY16 Change
    Net sales 12,263 13,070 6.6% 57,330 61,320 7.0%
    Expenditure 10,550 10,904 3.4% 48,629 50,696 4.2%
    Operating profit (EBIDTA) 1,713 2,166 26.5% 8,701 10,625 22.1%
    EBDITA margin (%) 14.0% 16.6% 15.2% 17.3%
    Other income 188 276 46.9% 589 934 58.6%
    Depreciation 200 326 62.6% 844 1,018 20.7%
    Interest cost 56 67 19.3% 229 202 -11.7%
    Profit before tax 1,644 2,049 24.6% 8,217 10,338 25.8%
    Tax 528 644 22.0% 2,368 2,971 25.5%
    Effective tax rate 32% 31% 29% 29%
    Profit after tax/(loss) 1,116 1,405 25.9% 5,849 7,366 25.9%
    Minority interest/ share in profit of associates -16 -21 -114 -118
    Net profit after tax 1,100 1,384 25.8% 5,735 7,248 26.4%
    Net profit margin (%) 9.0% 10.6% 10.0% 11.8%
    No. of shares (m) 644.9 1,290.2
    Diluted earnings per share (Rs)* 5.6
    Price to earnings ratio (x) 0.0

    (*On a trailing 12-month basis)

To Read the Full Story, Subscribe or Sign In



DISCLOSURES UNDER SEBI (RESEARCH ANALYSTS) REGULATIONS, 2014
INTRODUCTION:
Equitymaster Agora Research Private Limited (hereinafter referred to as "Equitymaster"/"Company") was incorporated on October 25, 2007. Equitymaster is a joint venture between Quantum Information Services Private Limited (QIS) and Agora group. Equitymaster is a SEBI registered Research Analyst under the SEBI (Research Analysts) Regulations, 2014 with registration number INH000000537.

BUSINESS ACTIVITY:
An independent research initiative, Equitymaster is committed to providing honest and unbiased views, opinions and recommendations on various investment opportunities across asset classes.

DISCIPLINARY HISTORY:
There are no outstanding litigations against the Company, it subsidiaries and its Directors.

GENERAL TERMS AND CONDITIONS FOR RESEARCH REPORT:
For the terms and conditions for research reports click here.

DETAILS OF ASSOCIATES:
Details of Associates are available here.

DISCLOSURE WITH REGARDS TO OWNERSHIP AND MATERIAL CONFLICTS OF INTEREST:
  1. 'subject company' is a company on which a buy/sell/hold view or target price is given/changed in this Research Report
  2. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have any financial interest in the subject company.
  3. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have actual/beneficial ownership of one percent or more securities of the subject company at the end of the month immediately preceding the date of publication of the research report.
  4. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have any other material conflict of interest at the time of publication of the research report.
DISCLOSURE WITH REGARDS TO RECEIPT OF COMPENSATION:
  1. Neither Equitymaster nor it's Associates have received any compensation from the subject company in the past twelve months.
  2. Neither Equitymaster nor it's Associates have managed or co-managed public offering of securities for the subject company in the past twelve months.
  3. Neither Equitymaster nor it's Associates have received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past twelve months.
  4. Neither Equitymaster nor it's Associates have received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past twelve months.
  5. Neither Equitymaster nor it's Associates have received any compensation or other benefits from the subject company or third party in connection with the research report.
GENERAL DISCLOSURES:
  1. The Research Analyst has not served as an officer, director or employee of the subject company.
  2. Equitymaster or the Research Analyst has not been engaged in market making activity for the subject company.
Definitions of Terms Used:
  1. Buy recommendation: This means that the investor could consider buying the concerned stock at current market price keeping in mind the tenure and objective of the recommendation service.
  2. Hold recommendation: This means that the investor could consider holding on to the shares of the company until further update and not buy more of the stock at current market price.
  3. Buy at lower price: This means that the investor should wait for some correction in the market price so that the stock can be bought at more attractive valuations keeping in mind the tenure and the objective of the service.
  4. Sell recommendation: This means that the investor could consider selling the stock at current market price keeping in mind the objective of the recommendation service.
Feedback:
If you have any feedback or query or wish to report a matter, please do not hesitate to write to us.

Small Investments
BIG Returns

Zero To Millions Guide 2018
Get our special report, Zero To Millions
(2018 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

MARICO LTD SHARE PRICE


Dec 13, 2017 (Close)

TRACK MARICO LTD

  • Track your investment in MARICO LTD with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

MARICO LTD 8-QTR ANALYSIS

COMPARE MARICO LTD WITH

MARKET STATS