Views on United Phosphorous Ltd 1QFY2017 Results: Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP - Research Pharma, Angel Broking) on United Phosphorous Ltd 1QFY2017 Results:

UPL (CMP: INR 610 / TP: INR 684 /Upside: 12.1%)

"For 1QFY2017, the company posted sales of INR 3,452cr V/s INR 3,205cr in 1QFY2016, a YoY growth of 7.7%. All markets, except the Indian and USA, which posted growth of 1% and 5% respectively, posted double digit growth. Volume growth during the quarter was 8%, while price dip was 2% and exchange rates aided 2% growth. On the operating profit front, the OPM came in at 20.0% V/s 19.0% in 1QFY2016. The improvement in the OPM was on back of gross margins which came in at 42% V/s 41% in 1QFY2016. This lead company to post an Adj. net profit of INR 402cr V/s INR 325cr in 1QFY2016, a YoY growth of 24.0%. We maintain our ACCUMULATE rating on the stock."

Shares of UPL Limited was last trading in BSE at Rs.624.5 as compared to the previous close of Rs. 609.7. The total number of shares traded during the day was 605805 in over 19432 trades.

The stock hit an intraday high of Rs. 629.7 and intraday low of 603.9. The net turnover during the day was Rs. 376343199.

Source : Equity Bulls

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