GSK Consumer - Q3FY12 Result Update - Emkay

Reco: ACCUMULATE
CMP: Rs 2,637
Target Price: Rs 2,743

16% volume growth in Horlicks, Retain Accumulate

- One-offs in A&P spends and Tax outgo impact performance, APAT growth curtailed to 11% yoy to Rs591 mn

- Horlicks bounces back with volume growth of 16% yoy, but MFD volume growth of 12% yoy…

- GSK has raised product prices by 8% on Boost portfolio effective December 2011 and 4% on Horlicks portfolio effective January 2012

- Maintain Earnings estimates for CY12E, Remains preferred play within 3 themes in Consumer sector, Maintain 'ACCUMULATE' with target price of Rs 2,743.

Source : Equity Bulls

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