Container Corporation of India(CCRI IN): Q4FY13 Results - Operationally Weak - IDBI Capital

- CCRI results were operationally lower than estimates as the margins contracted 320bps QoQ.

- Revenue grew 15% YoY on the back of pass on of the rail haulage charges which saw another hike from 1st Feb 2013 and had a impact of 7% for CCRI's haulage charges.

- EBIDTA margin stood at 21.1% Up 20bps YoY/down 320bps QoQ. We expect this might have been due to difficulty in pass on of the rail haulage charge as well as higher empty charges.

- PAT stood flat YoY at Rs2259 mn.

Our ViewThe analyst hopes to achieve further clarity on the operational number in the concall to be held on Monday (27th) 11 AM. We believe that at the current levels the stock largely factors in the upsides and maintain a REDUCE rating wwith a target price of Rs976 at 12x15E EPS.

Source : Equity Bulls

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