1QFY21 results of KEI Industries Ltd - Angel Broking

Mr. Amarjeet Maurya, AVP - Mid Caps, Angel Broking Ltd.

"For 1QFY21, KEI Industries (KEI) posted better results compared to its peer, which is largely in-line with our expectations on bottom-line fronts. KEI's net sales de-grew by ~31% to Rs745cr. Top-line was negatively impacted due to restrictions on business activities (due to COVID-19 pandemic). However, the company has outperformed the peers during the quarter. On the operating front, the company reported margin contraction (down by 84bp YoY to 9.7%), mainly due to negative impact of operating leverage. The reported net profit de-grew by ~21% YoY to Rs36cr due to lower sales. We expect fast recovery in KEI's revenue mainly due to healthy order book (current order book is ~Rs2,951cr), growth in EHV business and higher exports. Thus, we currently have a POSITIVE view on the stock."

Shares of KEI INDUSTRIES LTD. was last trading in BSE at Rs.376.95 as compared to the previous close of Rs. 353.25. The total number of shares traded during the day was 52412 in over 2057 trades.

The stock hit an intraday high of Rs. 381.75 and intraday low of 355. The net turnover during the day was Rs. 19423107.

Source : Equity Bulls

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