PL First Cut – S Chand Ltd | 2QFY24
Prabhudas Lilladher Pvt Ltd
PL First Cut – S Chand Ltd | 2QFY24 – Jinesh Joshi – Research Analyst, Prabhudas Lilladher Pvt Ltd
S Chand Ltd | 2QFY24 First Cut | Results below estimates| BUY | TP Rs338 |
✳️Top-line declined 19.6% YoY to Rs380mn (PLe of Rs402mn) versus Rs473mn in 2QFY23 on back of subdued Higher Education segment performance.
✳️Gross profit declined 37.4% YoY to Rs183mn (PLe of Rs253mn) with a GM of 48.1% (PLe 63.0%) as against 61.8% in 2QFY23.
✳️EBITDA loss stood at Rs498mn (PLe EBITDA loss of Rs406mn) as against an EBITDA loss of Rs294mn in 2QFY23.
✳️ Loss for the quarter stood Rs418mn (PLe Loss of Rs385mn) vs a loss of Rs199mn in 2QFY23 due to increased employee and other expenses on back of NCF, and absence of exceptional gain of Rs156mn that prevailed in 2QFY23.
✳️S Chand trades at 13.8x/9.5x our FY24E/FY25E EPS estimate. Our current rating is BUY with a TP of Rs338.