Lumax Industries Q1 Review - Near Term Hiccups, Long Term Positive: Dolat Capital

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Dolat Capital Report

Lumax Industries Ltd. reported a weak set of numbers in Q1 due to regional lockdown and chip shortage.

Revenue/Ebitda de-grew 38%/87% QoQ respectively. Ebitda margin fall by 782 basis points QoQ to 2% due to higher raw material cost and negative operating leverage.

Production is ramping up well with capacity utilisation at 85-90% in August.

Order book for September quarter also looks strong.

Management is looking at 10-15% industry growth in passenger vehicle segment and expects Lumax Industries to outperform industry and targeting revenue growth of 25-30% on the back of new business win and better mix.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.