Rallis India Ltd - Beat on top-line, margins remain flat - Emkay

CMP: Rs 162
Target Price: Rs 162

- Q2FY14 results were better than our estimates on the top line with consolidated revenue growth of 24% yoy to Rs 6bn however APAT Rs 748nm was in line with our estimates

- Good monsoon, pick up in sales of key brands in current quarter along with weak performance in Q1FY14 has helped the company to post strong quarterly results

- Stand alone results are encouraging with 23% growth in revenues and 100bps yoy improvement in EBIDTA margins to 22.4% leading to 39% growth at PAT

- Management remained upbeat about near term performance as good outlook for rabi crop and farmers' profitability across the crops should keep the industry growth buoyant.

Source : Equity Bulls

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