Views on United Phosphorus Ltd 1QFY2018 Results: Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP Research - Pharma, Angel Broking):

UPL Limited (CMP: INR 878 / TP: /Upside:)

"UPL posted good set of numbers for 1QFY2018. Sales came in at INR 3,723cr V/s INR 3,644cr, a YoY growth of 7.8%. On operating front, the Gross profit margins came in at 59.2% V/s 53.6% in 1QFY2017, which in part aided the OPM to come in at 18.6% V/s 17.7% in 1QFY2017. The expansion in OPM was lower than the expansion in gross profit margins mainly aided by a lower sales growth during the quarter. The PBT during the quarter, posted a YoY growth of 37.2%, aided by a 52.0% YoY growth in other income (INR 101cr V/s INR 66cr in 1QFY2017). Thus, net profit came in at INR 475cr V/s INR 361cr in 1QFY2017, a YoY growth of 31.6%. Adj. net profit came in at INR 496cr V/s INR 392cr a YoY growth of 26.4%. We maintain our NEUTRAL view on the stock."

Shares of UPL Limited was last trading in BSE at Rs.881.75 as compared to the previous close of Rs. 888.6. The total number of shares traded during the day was 72187 in over 1801 trades.

The stock hit an intraday high of Rs. 897.4 and intraday low of 878.15. The net turnover during the day was Rs. 64033115.

Source : Equity Bulls

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