Thursday, 2 May 2019

Dabur India to report Q4 earnings today; brokerages expect PAT to jump 10-15%


FMCG company Dabur India will announce its quarterly earnings (Jan-March 2019) on May 2.

According to Kotak Institutional Equities Research, the company's adjusted PAT is likely to increase 14.1 percent at Rs 451.9 crore, while sales are likely to go up by 9.4 percent at Rs 2,224 crore.

The brokerage house expects EBITDA margin at 24.5 percent.

It expects consolidated gross margin to be broadly flat on account of benign raw material environment and better mix (lower contribution of foods).

Research house Narnolia expects the company to report 10 percent jump in its net profit at Rs 436 crore, while sales to go up by 8 percent at Rs 2,199 crore.

Earnings before interest, tax, depreciation and amortization (EBITDA) is likely to go up by 10 percent at Rs 534 crore, while EBIDTA margin at 24.3%.

Gross margin is expected to decline by 59 bps YoY to 50.1% due to input inflation while slightly lower crude to put some cushion on it.

Key things to watch:

Domestic business Volume growth and Management’s commentary regarding rural growth.

Commentary regarding margins.

International business cc growth.

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Source: Moneycontrol

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