Q4FY21 Result Update - V-Guard Industries - ICICI Direct

V-Guard's Q4FY21 performance was much ahead of our estimates on all fronts. A favourable base, dealer additions, launches of new products and market share gains from unorganised/regional players drive strong sales growth in Q4FY21. According to the management, V-Guard will continue to focus on expanding distribution network in non-south regions (~40% of revenue), improving mix towards premium product launches (for better gross margins). The company has plans to leverage technology benefit from its recent investment in battery startup 'Gegadyne Energy' for launching new products in the coming future. In the near term, lockdown related disruption are likely to hit demand and margin of the company. Hence, we revise our revenue, PAT guidance down by ~3%, 9%, respectively, for FY22E. However, we believe a healthy b/s (net cash of Rs. 271 crore) and a strong brand would help V-Guard to sail through near term challenges easily.

For details, click on the link below: Link to the report

Shares of V-GUARD INDUSTRIES LTD. was last trading in BSE at Rs.266.25 as compared to the previous close of Rs. 278.9. The total number of shares traded during the day was 129650 in over 3438 trades.

The stock hit an intraday high of Rs. 281 and intraday low of 264.5. The net turnover during the day was Rs. 35151829.

Source : Equity Bulls

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