PL First Cut – Greenpanel Industries Ltd. Q2FY24

PL First Cut – Greenpanel Industries Ltd. Q2FY24 – Praveen Sahay – Research Analyst, Prabhudas Lilladher Pvt Ltd

Greenpanel Industries Ltd._Below estimates on both front : Revenue growth and Margins

Q2FY24 Result First Cut

CMP: Rs335.5| Mcap: Rs42.367bn | BUY

➡️ Revenues de-grew by 12.8% YoY to Rs3.9bn (PLe: Rs4.3bn, 9.6% below) vs 8% below cons. est.: Rs4.2bn)

➡️ Gross margins contracted by 310bps YoY to 55.6%. (PLe: 58.1%)

➡️ EBITDA de-grew by 40.8% YoY to Rs691mn (PLe: Rs908mn, 24% below) EBITDA margin contracted by 780bps YoY to 17.3% (PLe: 21.0% & Cons. est. 18.7%)

➡️ PBT de-grew by 50% YoY to Rs550mn (PLe: Rs720mn, 24% below) vs 2.8% above cons. est.: Rs535mn

➡️ PAT de-grew by 44.5% YoY to Rs410mn (PLe: Rs540mn, 24.1% below) vs 28% above cons. est.: Rs428mn

Segments

➡️ MDF segment reported a revenue of Rs3.56bn down 10.3% YoY.

➡️The volume de-growth was 2.1% YoY at 1,23,615CBM. Reported blended realization of Rs28,679/CBM (down 8.4% YoY) and domestic realisation of Rs32,771/CBM (down 2.3% YoY).

➡️ Plywood segment reported a revenue of Rs431mn down 29.2% YoY.

➡️The volume de-growth was 19.6% YoY at 1.64MSM. Reported realization of Rs263/sqm (down XX% YoY)

➡️EBITDA margins stood at 1.6% vs 7.3% YoY.

➡️Net debt stood at negative Rs1.79bn as on 30th September 2023