Quarterly Result Updates & Analysis

Nifty_500 H1_Fy_25 Latest Results with Sales, Profit and Margin Growth:

As Discussed in the video:

https://www.youtube.com/live/QJU2aiTM6oI?si=fFzMVTrucBOo4wZQ

The discussed data are Given in Below attached spreadsheet:
https://docs.google.com/spreadsheets/d/16RjdpT7lo6NBZhgDSr7_yTwzHLz1mi-q6xIEN4GXt5o/edit?usp=sharing

#### 1. *Sales Growth and Volume Growth*

- *Q2 FY25*: Revenue from operations reached ₹2,41,974 lakhs, showing growth from Q2 FY24 (₹2,22,584 lakhs), indicating an approximate 8.7% increase year-on-year.

- *H1 FY25*: Total revenue for the half-year ending 30th September 2024 stood at ₹5,13,424 lakhs, growing from ₹4,34,586 lakhs in H1 FY24, reflecting an 18.1% year-on-year increase.

#### 2. *Profit Margins*

- *Q2 FY25: The net profit margin stood at **13.82%* with a profit after tax (PAT) of ₹34,694 lakhs.

- *Comparative Margins*:

- *Q1 FY25*: 17.04% with PAT at ₹48,999 lakhs.

- *Q2 FY24*: 14.72% with PAT at ₹34,744 lakhs.

- *H1 FY25 Margin: Net profit margin for H1 FY25 was approximately **15.54%*.

#### 3. *Profit Growth*

- *Q2 FY25*: Year-on-year profit after tax slightly decreased by 0.14%.

- *H1 FY25: PAT increased by approximately **23.3%* from H1 FY24’s PAT, driven by higher revenue and operating efficiencies.

#### 4. *Profitability Ratios (at CMP ₹2,903)*

- *Operating Margin: Q2 FY25 operating margin is **17.08%*, showing stability compared to previous quarters.

- *Return on Equity (ROE): Calculated based on annualized H1 FY25 net profit and total equity, the ROE is approximately **15.5%*.

- *Net Profit Margin: Stable at **13.82%* for Q2, consistent with previous periods.

#### 5. *Leverage, Liquidity, and Valuation Ratios*

- *Debt-Equity Ratio: Q2 FY25 ratio at **0.19*, showing a relatively low leverage position, indicating a strong equity base relative to debt.

- *Current Ratio: **1.35* for Q2 FY25, reflecting sufficient liquidity to cover short-term liabilities.

- *Price-to-Earnings (P/E): With trailing earnings, the P/E ratio approximates **20.2x*, aligning with sector averages.

#### 6. *About the Company and Industry Overview*

- *Company Background*: Balkrishna Industries specializes in Off-Highway Tires (OHT), primarily in agriculture, industrial, and construction segments. With substantial market share in exports, Balkrishna caters to geographies like Europe and North America.

- *Industry Overview*: The global tire market, especially OHT, is anticipated to grow due to increased mechanization in agriculture and infrastructure developments. Market competition is intensifying, with emerging companies entering the OHT segment.

#### 7. *Peer Analysis*

- *Key Competitors*: Major peers include MRF Ltd., Apollo Tires, and CEAT. Balkrishna maintains a premium positioning due to its focus on niche OHT markets and strong export presence.

- *Comparison*: Balkrishna's low debt and high export reliance set it apart, with robust financial metrics compared to its domestic peers in the broader tire market.

#### 8. *Future Outlook*

- *Near Term*: Continued focus on capacity expansion and product diversification in the OHT segment positions Balkrishna to leverage growing demand in infrastructure and agriculture.

- *Long Term*: The strategic completion of the Advanced Carbon Black project and the phased expansion of OHT production is expected to enhance cost efficiency and meet demand growth. Balkrishna’s focus on innovation and sustainability in production provides a strong outlook for long-term growth.

#### 9. *Investment Insights*

- *Strengths*: Solid revenue growth, strong balance sheet, low leverage, and high export revenue.

- *Risks*: Exposure to raw material price fluctuations and currency volatility in export markets. Profits have fallen this quarter.

This analysis highlights Balkrishna’s steady financial performance but with lower profits, strategic focus, and favorable industry positioning, making it an attractive prospect for long-term investors, with growth supported by its expansion and product innovation initiatives.

### 10. *Disclosure*:

- We are not a tip provider, we should check the data and invest accordingly if we feel confident.

### 1. *Sales Growth and Revenue Highlights*

- *Gross Revenue* in Q2 FY25 reached ₹20,360 crores, marking a *16% YoY growth* driven by Agri Business and Hotels.

- *H1 FY25* revenue was up, driven largely by the FMCG, Hotels, and Agri-Business segments.

### 2. *Segmental Revenue Growth for Q2 FY25*

- *FMCG (Cigarettes): Revenue increased by **7.3% YoY*, driven by strategic market interventions and premium offerings.

- *FMCG (Others): Grew **5.4% YoY*, supported by a diverse product mix (e.g., staples, biscuits, and premium soaps).

- *Hotels: Revenue increased **12.1% YoY* with strong growth in weddings and F&B, and the successful opening of an international property.

- *Agri-Business: Recorded a **47% YoY increase* due to strong demand for tobacco and value-added products.

- *Paperboards & Packaging: A modest **2.1% YoY growth* was reported, affected by global price pressure and higher wood costs.

### 3. *Profit Margins Analysis*

- *Q2 FY25* profit margins showed resilience:

- *EBITDA Margin* expanded in the Hotels segment by *70 bps YoY*, reflecting improved RevPAR and operating leverage.

- *Cigarettes Segment PBIT* grew by *5.1% YoY*, countering cost inflation.

- *Paperboards & Packaging* was challenged by input costs but managed *2.1% YoY growth* through export focus.

- Comparing *Q2 FY25 to Q1 FY25*:

- Segment margins generally held steady or saw mild improvements, though Q2 was impacted by weather and inflation in some areas.

### 4. *Profit Growth for Q2 and H1 FY25*

- *Profit Before Tax (PBT)* for Q2 FY25 was ₹6,754 crores, up from ₹6,513 crores in Q2 FY24.

- *Net Profit (PAT)*: Q2 FY25 PAT reached ₹5,078 crores, a slight rise from ₹4,926 crores YoY.

- *H1 FY25* saw a PAT of ₹9,995.8 crores, showing solid growth compared to the prior period's ₹9,829.7 crores.

### 5. *Key Ratios*

- *Profitability*: ITC maintained high EBITDA margins across segments, notably in Cigarettes and Hotels.

- *Leverage Ratios*: Debt remained minimal; finance costs were low at ₹14.8 crores in Q2 FY25, reflecting a strong balance sheet.

- *Solvency and Liquidity: The company maintained **liquidity* with over ₹4,405 crores in cash and bank balances, further supporting operational stability.

- *Valuation Ratios* at CMP of ₹482:

- *PE Ratio: Based on EPS of ₹4.06 for Q2, annualized PE is approximately **30x*, which is competitive within the FMCG sector.

### 6. *Industry Overview and Peer Comparison*

- *Industry*: The FMCG sector faced challenges with rising costs and competitive pressures, especially in snacks and noodles【8†source】.

- *Peers*: ITC’s diversified structure (FMCG, Hotels, Paper, Agri) provides resilience, unlike pure FMCG players who rely heavily on consumer spending.

### 7. *Future Outlook*

- *Near Term*: ITC expects stability as inflation moderates. Its premiumization strategy and digital retail focus could boost market share.

- *Long Term*: The focus on sustainable practices, asset-light models in hotels, and expansion in Agri-Business position ITC well amidst rising urbanization and consumer preference shifts.

### 8. *Disclosure*:

- We are not a tip provider, we should check the data and invest accordingly if we feel confident.

*Indian Energy Exchange's (IEX) Q2 FY25 financial results:*

### *Key Financial Highlights (Q2 FY25):*

1. *Revenue Growth:*

- *Revenue from operations* for Q2 FY25 increased to ₹13,924.38 lakhs compared to ₹10,853.26 lakhs in Q2 FY24, marking a *revenue growth of approximately 28.31% year-on-year* (YoY).

2. *Profit Growth:*

- The *profit before tax (PBT)* for Q2 FY25 was ₹14,292.32 lakhs compared to ₹11,078.95 lakhs in Q2 FY24, representing a *profit growth of 28.98%*.

- *Net profit* for Q2 FY25 stood at ₹10,608.40 lakhs, up from ₹8,286.98 lakhs in Q2 FY24, reflecting a *net profit growth of 28.01%* YoY.

3. *Profit Margins and Profitability:*

- *Profit margins* (Net profit as a percentage of total income) for Q2 FY25 stood at *63.20%, slightly lower compared to Q2 FY24's margin of **62.35%*.

- The company continues to exhibit robust profitability with high operating and net margins, reflecting efficient cost management and strong operating performance.

### *Leverage, Liquidity, and Valuation Ratios:*

1. *Leverage:*

- The company's *finance costs* remained stable at ₹65.99 lakhs, indicating controlled leverage. IEX's balance sheet reveals a *low debt-to-equity ratio* given minimal finance costs and high equity capital.

2. *Liquidity:*

- *Cash and cash equivalents* as of September 30, 2024, stood at ₹1,944.05 lakhs, down from ₹14,780.12 lakhs as of March 31, 2024, indicating reduced liquidity, potentially due to dividend payouts and investment in assets.

- *Current ratio: With current assets of ₹1,13,598.14 lakhs and current liabilities of ₹63,078.35 lakhs, the company’s current ratio is approximately **1.80*, which suggests healthy short-term liquidity.

3. *Valuation Ratios:*

- *Earnings per share (EPS)* for Q2 FY25 is ₹1.19, up from ₹0.93 in Q2 FY24, indicating growing profitability.

- *Trail EPS* is ₹4.37, up from ₹4.15 in Q1 FY24, indicating growing profitability.

- *Trail PE ratio* Considering today’s close of 184 & Trail EPS of 4.37 Trail_PE = 42X which is higher then its Fair PE assumed at 30X.

### *Company Overview:*

IEX is India's premier energy exchange, providing a platform for the trading of electricity, renewable energy, and energy-saving certificates. It plays a vital role in the deregulated power market, offering transparent price discovery and an efficient market mechanism.

### *Industry Overview:*

The energy trading industry in India is experiencing rapid growth due to increased demand for electricity, renewable energy integration, and government initiatives to boost renewable energy production. IEX stands to benefit from the government's focus on clean energy and the expected growth in power consumption across industrial and residential sectors.

### *Future Outlook:*

- *Short-term:* The company is expected to maintain steady growth driven by increasing electricity demand and growing participation in the energy exchange market. The Opening of the market with other players removes the monopoly which could affect the growth.

- *Long-term:* The emphasis on renewable energy, the expansion of the power market, and favorable regulatory changes will likely support IEX's growth trajectory. Additionally, the introduction of newer market segments like real-time electricity markets will further strengthen its market leadership.

### *Disclosure Considerations:*

We are not a tip provider, we should check the data and invest accordingly if we feel confident.

Key Highlights: Dixon Technologies (India) Limited - Q2 FY25
???? Financial Performance:

Revenue: ₹11,528 Crores (???? +133%)
EBIDTA: ₹420 Crores (???? +110%)
PBT: ₹529 Crores (???? +255%)
PAT: ₹412 Crores (???? +265%)
???? Earnings Per Share (EPS):

Basic: ₹68.82
Diluted: ₹68.11
???? Exceptional Gain: ₹20,961 lakhs from investment recognition.

???? Industry Leadership: Dixon continues to dominate the EMS (Electronics Manufacturing Services) sector with strong financial results and increasing market share.

Key Highlights:

Total Deposits: ₹1,09,693 Cr (???? +12.7% QoQ, ???? +45% YoY) – Strong growth in deposits, indicating increased customer trust and improved deposit mobilization.

CA Deposits: ₹5,981 Cr (???? +26% QoQ) – Significant growth in current account deposits, showcasing higher liquidity from institutional and business clients.

SA Deposits: ₹29,540 Cr (???? +8% QoQ) – Steady growth in savings accounts, reflecting increased retail participation.

Cost of Funds (CoF): 7.04% (???? Slight increase from 7.03% in Q1 FY25) – A marginal rise, indicating stable funding costs despite market pressures.

Credit-Deposit (CD) Ratio: 86% (???? Down from 92% in Q1 FY25) – Lower CD ratio indicates either higher deposit growth or cautious lending approach.

Liquidity Coverage Ratio (LCR): 112% (???? Down from 117% in Q1 FY25) – Still robust, though slightly reduced liquidity buffer compared to the previous quarter.

Financial Performance

Net Interest Income (NII):

₹1,974 Cr (???? +58% YoY, ???? +3% QoQ) – Healthy growth in NII, driven by strong loan portfolio growth and optimization of interest-earning assets.

Expenses:

₹1,481 Cr (???? Flat QoQ) – Operating expenses remained stable, with no significant changes compared to the last quarter.

Net Profit (PAT):

₹571 Cr (???? +42% YoY, ???? +14% QoQ) – Profit growth reflects strong performance in core banking activities, boosted by higher NII and other income.

Loan Portfolio and Asset Quality

Gross Loan Portfolio: ₹1,05,031 Cr (???? +5.3% QoQ, ???? +8.9% YTD) – The bank's loan book crossed the ₹1 lakh crore milestone, driven by strong disbursements, especially in high RoA (Return on Assets) segments.

Gross Advances: ₹96,033 Cr (???? Up from ₹90,702 Cr in Q1 FY25) – Advances growth has remained stable, showcasing the bank's strong lending strategy.

Gross NPA (Non-Performing Assets): 1.98% (???? Increased from 1.78% in Q1 FY25) – Slight increase due to stress in unsecured lending segments, notably in microfinance and credit cards.

Net NPA: 0.75% (???? Up from 0.63% in Q1 FY25) – Reflects some deterioration in asset quality, though within manageable levels.

Provision Coverage Ratio (PCR): 82% (???? Down from 84% in Q1 FY25) – PCR remains strong, ensuring the bank is adequately covered against potential losses.

Financial Ratios

Net Interest Margin (NIM): 6.1% (???? Up from 6.0% in Q1 FY25) – Margins improved, supported by optimized asset yields and stable cost of funds.

Return on Assets (RoA): 1.9% (???? Up from 1.7% in Q1 FY25) – Reflects strong profitability driven by core banking operations.

Capital Adequacy Ratio: 18.51% (???? Down from 20.11% in Q1 FY25) – A strong capital base, although slightly lower due to higher loan growth.

H1 FY25 Results Summary

Net Interest Income (NII) for H1 FY25: ₹3,895 Cr (???? +58% YoY)

Net Profit (PAT) for H1 FY25: ₹1,074 Cr (???? +36% YoY)

Operating Expenses for H1 FY25: ₹2,959 Cr (???? +45% YoY) – Reflecting higher business activity but maintaining operational efficiency.

Peer Comparison – AU Small Finance Bank vs Competitors

1. Net Interest Margin (NIM):

AU Small Finance Bank: 6.1% ???? – Competitive margin, reflecting effective management of interest-earning assets and funding costs.

Equitas SFB: 8.8% ???? – Higher margin due to its focus on high-yielding microfinance loans.

Ujjivan SFB: 10.1% ???? – The highest among peers, driven by its substantial microfinance portfolio.

Bandhan Bank: 7.5% ???? – Strong NIM, benefiting from its large-scale microfinance and retail banking operations.

2. Net Non-Performing Assets (Net NPA):

AU Small Finance Bank: 0.75% ???? – Well-controlled, though slightly higher than Ujjivan.

Equitas SFB: 0.69% ???? – Slightly lower than AU SFB, indicating a robust loan portfolio quality.

Ujjivan SFB: 0.48% ???? – Best in class, reflecting efficient risk management in its loan book.

Bandhan Bank: 1.85% ???? – Much higher, pointing to greater stress in its loan portfolio, especially in the microfinance segment.

3. Cost to Income Ratio:

AU Small Finance Bank: 57% ???? – Better than most peers, showing strong cost control measures.

Equitas SFB: 64% ???? – Higher cost structure due to its microfinance focus and operational expenses.

Ujjivan SFB: 65% ???? – Similar to Equitas, with a higher cost base relative to income.

Bandhan Bank: 50% ???? – Leading in cost efficiency among peers, benefiting from its size and scale.

4. Gross Non-Performing Assets (Gross NPA):

AU Small Finance Bank: 1.98% ???? – Slight increase, but still better controlled compared to Bandhan.

Equitas SFB: 2.16% ???? – Slightly higher, impacted by stress in microfinance and retail loans.

Ujjivan SFB: 2.49% ???? – Higher NPAs, influenced by stress in unsecured lending.

Bandhan Bank: 6.1% ???? – Significantly higher, reflecting large-scale issues in the microfinance sector.

5. Return on Assets (RoA):

AU Small Finance Bank: 1.9% ???? – Strong performance, showcasing efficient use of assets.

Equitas SFB: 1.8% ???? – Slightly lower, but still competitive in the industry.

Ujjivan SFB: 1.5% ???? – Lower RoA, indicating lesser profitability on its assets.

Bandhan Bank: 2.4% ???? – Highest RoA, benefiting from large operations and strong profitability.

6. Capital Adequacy Ratio (CAR):

AU Small Finance Bank: 18.51% ???? – Adequate capital levels, well above regulatory requirements.

Equitas SFB: 22.5% ???? – Higher capital adequacy, reflecting a solid capital buffer.

Ujjivan SFB: 25.6% ???? – The highest among peers, showing strong capitalization post-COVID restructuring.

Bandhan Bank: 18.7% ???? – Comparable to AU SFB, providing a solid capital cushion.

Summary of Peer Comparison

AU Small Finance Bank demonstrates a balanced performance with a strong NIM ????, controlled NPAs ????, and competitive RoA ????. It outperforms Equitas and Ujjivan on cost efficiency ???? while maintaining better asset quality than Bandhan Bank.

Bandhan Bank leads in RoA ???? and cost efficiency ???? but faces challenges with a higher NPA ratio ????.

Ujjivan and Equitas excel in NIM ????, but their higher cost to income ratios ???? impact their overall efficiency.

AU Small Finance Bank presents a well-balanced profile, excelling in cost management and asset quality, which positions it favorably among peers.

Outlook and Conclusion

Industry Outlook: The bank remains confident about achieving 25% growth in both loans and deposits for FY25. However, credit costs are expected to stay elevated due to challenges in the microfinance and unsecured lending segments.

Company Future Outlook: AU Small Finance Bank is targeting a transition to a Universal Bank License, which will enhance its brand perception, lower its funding costs, and make its business model more sustainable in the long run.

Disclosure: These results are based on the unaudited financials for Q2 FY25. Investors are advised to exercise their own due diligence and consider market conditions before making any investment decisions.

1. Q2 FY25 Performance Overview ????

Revenue: ₹660 crore

YoY Growth: 9.8%

EBITDA: ₹202 crore

YoY Growth: 13.9%

PAT (Profit After Tax): ₹131 crore

YoY Growth: 18.1%

Samples Processed: 23 million (Up by 8.6% YoY)

Patients Served: 7.8 million (Up by 3.9% YoY)

Key Observations:

The quarter witnessed robust revenue growth driven by higher patient volume and increased sample processing.

SwasthFit Portfolio: Continued to be a significant contributor, with 24% of the total revenue in Q2 FY25.

2. Financials ????

H1 FY25 Revenue: ₹1,262 crore, a YoY growth of 10.5%.

Operating Expenditure: ₹458 crore in Q2 FY25.

EBITDA Margins:

Q2 FY25: 30.7%

H1 FY25: 29.5%

EBIT (Earnings Before Interest and Taxes): ₹189 crore (EBIT Margin: 28.6% in Q2 FY25)

PAT Margins:

Q2 FY25: 19.8%

H1 FY25: 18.9%

Key Observations:

EBITDA and PAT margins saw significant improvement, indicating better operational efficiency and cost optimization.

Finance costs were reduced, improving profitability.

3. Key Performance Highlights ????

Highest Ever Quarterly Revenue: ₹660 crore in Q2 FY25, up by 9.8% YoY.

Sample Growth: 8.6% YoY growth in Q2 FY25.

Patient Volume: Increased by 3.9% in Q2 FY25 compared to Q2 FY24.

H1 FY25 Revenue Growth: 10.5% YoY, with a continued positive trajectory.

Revenue Per Patient: ₹844 in Q2 FY25, up by 5.7% YoY.

Key Drivers:

Strategic cost optimization and operational leverage have contributed to robust profitability.

Continued investments in technology and infrastructure have helped sustain growth.

4. Segment-wise Sales Data and Growth ????

Sample Growth:

Q2 FY25: 8.6% YoY increase.

H1 FY25: 9.1% YoY increase.

Patient Volume Growth:

Q2 FY25: 3.9% YoY growth.

H1 FY25: 4.8% YoY growth.

Key Observations:

The diagnostic services market continues to expand, with higher volumes of both patient visits and samples processed.

5. Increasing DLPL Reach in Tier 3+ Areas ????

Revenue Contribution from Tier 3+ Areas:

FY24: ₹789 crore (35% of total revenue).

Infrastructure Growth in Tier 3+:

Labs: 84 labs

Collection Centers: 3,446

Pick-up Points (PUPs): 7,668

Key Expansion Plans:

Continued focus on expanding in Tier 3 and Tier 4 towns.

Plans to open 15-20 new labs and add around 800 collection centers by FY25.

6. Dr. Lal PathLabs – At a Glance ????

Years of Experience: 75+ years in diagnostics.

Geographical Presence:

Labs: 280 labs across India.

Patient Service Centers: 5,762 centers.

Pick-up Points (PUPs): 11,619.

Comprehensive Test Menu:

Pathology Tests: 3,075.

Radiology & Cardiology Tests: 1,439.

Key Achievements:

Dr. Lal PathLabs remains a market leader in the diagnostic space due to its wide geographical presence and comprehensive service offerings.

7. ABDM - All Milestones Achieved, DLPL Among Early Adopters ????

Ayushman Bharat Digital Mission (ABDM):

Milestone 1 (ABHA ID): Digital health record creation for patients.

Milestone 2 (Health Information Provider): Integration with health information systems.

Milestone 3 (Health Information User): Utilization of health data for enhanced care.

DLPL’s Role:

Among the early adopters of the Ayushman Bharat Digital Mission, ensuring a future-ready digital healthcare approach.

8. Lab Data Disclosure ????

Number of Clinical Labs: 280.

NABL Accreditation: 36 labs.

CAP Accreditation: 2 labs.

Patient Service Centers (PSCs): 5,762.

Pick-up Points (PUPs): 11,619.

Key Observations:

Dr. Lal PathLabs remains committed to providing high-quality diagnostic services, reflected in its high number of accredited labs and service centers.

9. Industry Outlook ????

Diagnostics Sector Growth:

The sector continues to grow due to increasing awareness of preventive healthcare and rising demand for diagnostic services.

Key Industry Drivers:

Government initiatives such as Ayushman Bharat and technological advancements like digital health records and AI-based diagnostic tools are significant contributors to the sector's growth.

Future Outlook:

Dr. Lal PathLabs is well-positioned to capitalize on the growing demand for diagnostic services, especially in Tier 3 and Tier 4 markets, where it has a strong presence.

10. Company's Future Outlook ????

Expansion Plans:

Plans to open 15-20 additional labs and expand collection centers across brands by FY25.

Continued focus on technological advancements, including AI, machine learning, and automation to improve operational efficiency.

Peer Group Comparison ????

To give a comprehensive comparison of Dr. Lal PathLabs' performance in Q2 FY25, here is a breakdown of Sales, Profit, EBITDA, and Store Count of some of its major peers in the diagnostics industry:

1. Dr. Lal PathLabs (Q2 FY25) ????

Revenue: ₹660 crore

EBITDA: ₹202 crore

Profit (PAT): ₹131 crore

EBITDA Margin: 30.7%

Store Count:

280 labs

5,762 Patient Service Centers (PSCs)

11,619 Pick-up Points (PUPs)

2. Metropolis Healthcare ????

Revenue: ₹320 crore (estimated for Q2 FY25)

EBITDA: ₹90 crore (estimated)

Profit (PAT): ₹50 crore (estimated)

EBITDA Margin: 28%

Store Count:

173 labs

3,400 collection centers

3. Thyrocare Technologies ????

Revenue: ₹170 crore (estimated for Q2 FY25)

EBITDA: ₹65 crore (estimated)

Profit (PAT): ₹40 crore (estimated)

EBITDA Margin: 38%

Store Count:

125 labs

3,500 collection centers

4. Vijaya Diagnostics ????

Revenue: ₹150 crore (estimated for Q2 FY25)

EBITDA: ₹45 crore (estimated)

Profit (PAT): ₹30 crore (estimated)

EBITDA Margin: 30%

Store Count:

105 labs

1,900 collection centers

5. Suburban Diagnostics (Part of Dr. Lal PathLabs) ????

Revenue: ₹100 crore (Q2 FY25, estimated after acquisition by Dr. Lal PathLabs)

EBITDA: ₹20 crore

EBITDA Margin: 20%

Store Count:

60+ labs

1,000+ collection centers

Analysis:

Dr. Lal PathLabs leads the market with its high revenue and store count, which contributes to its strong market presence and accessibility across India, especially in Tier 3 and Tier 4 cities.

Metropolis Healthcare and Thyrocare Technologies continue to show strong EBITDA margins, though their overall revenue and store count are significantly lower than Dr. Lal PathLabs.

Vijaya Diagnostics focuses more on the southern market and is expanding steadily, though its store count is less compared to its peers.

Suburban Diagnostics, now part of Dr. Lal PathLabs, has been growing rapidly, contributing to its parent company's increased market presence, particularly in Western India.

This peer comparison provides a clear view of where Dr. Lal PathLabs stands in relation to its competitors in terms of sales, profit, EBITDA, and store presence.

Conclusion:

Dr. Lal PathLabs continues to maintain its leadership position in the highly competitive diagnostics market. With a focus on operational efficiency, geographic expansion, and leveraging technology, the company is poised for sustained growth.

#### 1. *Volume Growth*

- *Q2 FY25 Volume: 138,077 MT of plastic goods sold, reflecting a marginal **volume growth of 0.23%* YoY compared to Q2 FY24.

- *H1 FY25 Volume: 311,912 MT sold, showing a strong **YoY growth of 8.94%* compared to H1 FY24.

#### 2. *Sales Growth*

- *Q2 FY25 Sales: Revenue from operations stood at ₹2,273 crore, a **decline of 1.56% YoY* compared to ₹2,308 crore in Q2 FY24.

- *H1 FY25 Sales: Revenue increased to ₹4,909 crore, a **YoY growth of 4.96%*.

#### 3. *Profit Growth*

- *Q2 FY25 PAT: Profit after tax (PAT) decreased by **15.61% YoY* to ₹219.39 crore compared to ₹259.97 crore in Q2 FY24.

- *H1 FY25 PAT: ₹455.53 crore, a slight **0.26% YoY growth*.

#### 4. *Profit Margins*

- *Q2 FY25 EBITDA Margin*: 14.05%, down from 15.44% in Q2 FY24.

- *H1 FY25 EBITDA Margin*: 14.40%, compared to 14.50% in H1 FY24.

#### 5. *Profitability Ratios*

- *Return on Equity (RoE)*: Based on H1 FY25 results, the company's profitability remains healthy, although marginally lower due to reduced YoY profit growth.

- *EBIT Margin*: Q2 FY25 EBIT margin dropped to 10.09% from 12.32% YoY.

#### 6. *Leverage Ratios*

- Supreme Industries continues to operate with *no debt*, maintaining a cash surplus of ₹674 crore as of September 30, 2024.

#### 7. *Valuations*

- *Earnings per Share (EPS)* for Q2 FY25 is ₹17.27, down from ₹20.47 in Q2 FY24. The company’s trailing twelve-month (TTM) EPS suggests that valuations may have softened due to reduced profit margins.

#### 8. *Company Overview*

Supreme Industries is one of India's largest plastic manufacturing companies with operations across eight business verticals and 30 manufacturing plants. The company caters to multiple sectors including piping, industrial components, and packaging products.

#### 9. *Industry Overview*

The Indian plastics industry is witnessing robust growth, driven by increasing demand from infrastructure projects, industrial applications, and consumer goods. The government's focus on infrastructure development and housing augments demand for plastic piping and related products.

#### 10. *Peer Comparison*

Supreme Industries faces competition from key players like Astral Poly Technik, Finolex Industries, and Prince Pipes in the piping and plastic goods sectors. Its peers have also shown mixed results amid cost pressures from raw material inflation.

#### 11. *Future Outlook*

- *Near-Term*: Given the company's volume growth, its cost-saving measures, and a diversified product portfolio, Supreme Industries is expected to maintain stable operational performance. However, margin pressures due to high raw material costs might persist in the near term.

- *Long-Term*: The company's focus on expanding its capacity, especially in the plastics and piping segments, combined with sustainability initiatives (like reducing carbon emissions and increasing renewable energy usage), should drive growth over the long term. The debt-free status and strong liquidity position provide a buffer against market volatility.

#### 12. *Conclusion for Investors*

- Supreme Industries has shown resilience in maintaining volume growth, despite margin pressures in the current quarter. With stable financials, a debt-free balance sheet, and long-term growth initiatives, the company remains an attractive investment for those looking at steady long-term returns, although near-term challenges in profitability and margins may persist.

### ???? *Disclosure:*

We are not a tip provider, we should check the data and invest accordingly if we feel confident.

???? Godrej Properties Q2 FY25 Financial Highlights ????️

Total Income: ₹1,038.63 Cr ???? (+108.03%)

Revenue from Operations: ₹663.47 Cr ???? (+195.33%)

Profit After Tax (PAT): ₹206.30 Cr ???? (+68.05%)

Booking Value: ₹2,650 Cr ???? (Driven by high demand for residential projects)

???? H1 FY25 Overview:

Total Income: ₹2,214.87 Cr ???? (+107.62%)

PAT: ₹697.62 Cr ???? (+185.84%)

????️ Segment Highlights:

Real Estate Sales: 4.75 million sq ft sold

Total Area Under Construction: 90.4 million sq ft

???? Key Financial Ratios:

Gross Debt to Equity: 1.15 ???? (Higher debt reliance)

Interest Service Coverage Ratio: 2.47 ???? (Improved coverage)

???? Peer Comparison:

Godrej’s PAT: ₹206.30 Cr ????
Competitors DLF (₹450 Cr), Oberoi Realty (₹260 Cr) outperform in operating margins.

???? Future Outlook:

Strong project pipeline in metro cities.

Focus on mid-range & affordable housing under PMAY.

Emphasis on sustainability and green buildings.

For more detailed insights, connect with us:

???? Toll-Free: 1800 890 4317

???? Join our WhatsApp Channel for instant updates:
https://whatsapp.com/channel/0029Va9KwJOId7nV4uqtE81v

???? Visit our Website:
www.profitfromit.in

Disclosure:
The financial information presented is based on publicly available data and is for informational purposes only. Investors are advised to conduct their own research or consult financial advisors before making investment decisions.

*Kajaria Ceramics Limited's Q2 FY25 financial performance*: Muted Growth

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### ???? *About the Company:*

Kajaria Ceramics Limited is India’s largest manufacturer of ceramic and vitrified tiles and the 8th largest globally. The company operates through nine plants with a combined annual capacity of 93.10 million square meters, distributed across various regions in India and Nepal.

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### ???? *Industry Overview:*

The tile industry is closely linked to the real estate and construction sectors, which are witnessing renewed growth due to increasing urbanization and housing demands. The company expects H2 FY25 to show stronger demand due to a rebound in real estate activity after a subdued H1 FY25.

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### ???? *Peer Companies:*

Kajaria Ceramics competes with companies such as Somany Ceramics, Asian Granito, and Orient Bell. All these companies are in the business of manufacturing and marketing tiles and sanitaryware, serving both residential and commercial construction sectors.

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### ???? *Q2 FY25 Performance Highlights:*

- *???? Sales Growth: The company reported **8.5% growth in tile volumes*, with consolidated revenue growing from ₹1,121.62 crores in Q2 FY24 to ₹1,179.27 crores in Q2 FY25.

- *???? Profit Margins*:

- *EBITDA Margin* for the quarter dropped to *13.5%* due to losses in the bathware division, which stemmed from the newly operational sanitaryware unit in Morbi, Gujarat. The Keronite unit, which also started production recently, contributed to additional overheads.

- *PAT (Profit After Tax)* for Q2 FY25 stood at *₹84 crore, a decline of **22% YoY, compared to **₹108 crore in Q2 FY24*.

- *???? Profitability Margins*:

- *PBT* decreased to *₹123.46 crores* in Q2 FY25 from ₹147.65 crores in Q2 FY24.

- *PAT margins* were negatively affected due to higher costs in newly operational units and subdued sales growth.

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### ???? *Volume Growth*:

- The company's tile volumes in Q2 FY25 grew by *8.5% YoY* to *28.70 MSM*. The growth in volumes came from both its own manufacturing units and subsidiaries.

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### ???? *Historical Performance*:

- Over the past few years, Kajaria has consistently increased its production capacity while maintaining a significant market share. However, challenges in the current quarter due to higher operating costs and lower-than-expected demand have reduced profit margins.

---

### ⚖ *Leverage Ratios*:

- *Net debt to equity ratio* was maintained at *-0.12* (net cash position), demonstrating strong financial discipline with no significant debt burden.

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### ???? *Other Key Metrics*:

- *EBITDA Margins*: 13.5% for Q2 FY25 vs. 16.02% in Q2 FY24.

- *Return on Equity (ROE)*: 13.10% as of September 2024.

- *Return on Capital Employed (ROCE)*: 18.23%.

- *Working Capital Days*: 59 days in Q2 FY25.

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### ???? *Key Investor Insights*:

- The overall growth in volumes and revenue is a positive indicator for long-term growth, but the short-term drop in profitability due to operational issues in the bathware division and additional costs associated with new production units are notable risks.

- Investors should consider the company’s expansion plans, particularly in tiles, adhesives, and other segments, as potential drivers for future profitability.

- The company's debt-free status, robust operational scale, and established market presence provide confidence in its ability to recover profit margins as demand picks up in the coming quarters.

### ???? *Disclosure:*

We are not a tip provider, we should check the data and invest accordingly if we feel confident.

TCS Q2 FY25 Financial Results – Detailed Investor Analysis ????

Industry Overview ????

The Indian IT Services Industry is a global powerhouse, contributing significantly to the economy through employment, export revenue, and digital innovation. In FY25, the sector is expected to grow steadily, driven by factors such as:

Digital Transformation: As businesses worldwide accelerate their digital transformation journeys, the demand for IT services in areas like cloud computing, artificial intelligence (AI), and cybersecurity continues to rise.

Increased Cloud Adoption: Companies are rapidly moving towards cloud-based solutions to reduce costs, increase scalability, and enhance efficiency. The cloud services market is expected to see a CAGR of 15-20% in the coming years.

AI and Automation: AI and machine learning solutions are being adopted by enterprises to automate processes, enhance customer experience, and improve decision-making. These technologies will be key growth drivers in the IT sector.

Global IT Outsourcing: Indian IT service providers, including TCS, Infosys, and Wipro, dominate the outsourcing market due to cost efficiencies, skilled talent pools, and scalable solutions.

TCS Overview ????

Tata Consultancy Services (TCS) is the largest IT services provider in India and one of the most prominent players globally. With its diversified portfolio, TCS caters to sectors such as Banking, Financial Services, and Insurance (BFSI), Retail, Manufacturing, Life Sciences, and Telecommunications. TCS has consistently maintained its leadership by focusing on:

Global Expansion: TCS has a wide presence across major markets, including North America, Europe, and Asia-Pacific, ensuring steady revenue growth from diverse regions.

Innovation and Digital Focus: TCS continues to invest heavily in AI, cloud solutions, and digital transformation services, which account for a significant portion of its revenues.

Client Relationships: TCS’s strength lies in its ability to maintain long-standing relationships with Fortune 500 companies, delivering end-to-end services across the value chain.

TCS Q2 FY25 Financial Results – Detailed Investor Analysis ????

Financial Highlights ????

CC Growth for Q2 is 5.5% v/s 4.4% during Q1_fy25 which shows improvement.

Total Employee addition is 11000 during H1_fy25 which was 5442 during q1_fy25 which again shows improvement.

Revenue from Operations: ₹64,259 crore, up 7.65% YoY from ₹59,692 crore in Q2 FY24.

Net Profit: ₹11,955 crore, reflecting a 5.05% YoY increase from ₹11,380 crore in Q2 FY24.

Profit Before Tax (PBT): ₹16,032 crore, a rise of 4.59% YoY from ₹15,330 crore in Q2 FY24.

Total Expenses: ₹48,956 crore, showing a 7.90% YoY increase compared to ₹45,368 crore in Q2 FY24.

Dividend Declaration ????

The Board of Directors declared an interim dividend of ₹10 per equity share, continuing TCS’s strong track record of returning capital to shareholders.

Segment-wise Performance and Growth ????

Banking, Financial Services, and Insurance (BFSI):

Revenue: ₹23,785 crore, showing 4.13% YoY growth from ₹22,840 crore in Q2 FY24.

QoQ Growth: 3.08% from ₹23,074 crore in Q1 FY25.

Manufacturing:

Revenue: ₹6,310 crore, 9.03% YoY growth from ₹5,787 crore in Q2 FY24.

QoQ Growth: 0.62% from ₹6,271 crore in Q1 FY25.

Consumer Business:

Revenue: ₹10,025 crore, 2.57% YoY growth from ₹9,773 crore.

QoQ Growth: 0.34%.

Communication, Media, and Technology:

Revenue: ₹12,088 crore, with a strong 26.30% YoY growth from ₹9,572 crore.

QoQ Growth: 11.99%.

Life Sciences and Healthcare:

Revenue: ₹6,630 crore, relatively flat at 0.08% YoY growth.

QoQ Decline: 4.04%, highlighting slower growth in this segment.

Others:

Revenue: ₹5,421 crore, up 6.41% YoY from ₹5,095 crore.

QoQ Decline: 2.75%.

Key Financial Ratios ????

Operating Profit Margin:

Q2 FY25: 23.80% (Operating income of ₹15,303 crore on revenue of ₹64,259 crore).

Q2 FY24: 23.67%, indicating slight improvement despite rising costs.

Net Profit Margin:

Q2 FY25: 18.61% (Net profit of ₹11,955 crore on revenue of ₹64,259 crore).

Q2 FY24: 19.07%, reflecting a slight contraction due to higher costs.

Return on Equity (ROE):

Annualized: 25.88%, reflecting strong returns to shareholders.

Return on Assets (ROA):

Annualized: 7.42%, indicating efficient use of the company’s assets.

Earnings Per Share (EPS):

₹32.92 in Q2 FY25, up from ₹31.00 in Q2 FY24, an increase of 6.19% YoY.

Debt-to-Equity Ratio:

Current: 0.09, showcasing minimal leverage and financial stability.

Cash Flow Analysis ????

Net Cash from Operating Activities: ₹21,999 crore for the first six months of FY25, driven by increased profits and efficient working capital management.

Net Cash used in Investing Activities: ₹8,068 crore, primarily directed towards capital expenditures, bank deposits, and investments.

Net Cash used in Financing Activities: ₹15,011 crore, largely due to dividend payments and repayment of lease liabilities.

Industry Outlook ????

The IT services industry is expected to maintain positive momentum, with businesses continuing to invest in:

Cloud computing,

AI and automation,

Digital transformation,

Cybersecurity services.

Key drivers include the push for sustainability and data-driven solutions, with IT providers playing a key role in enabling these trends. The rising demand for cloud migration and digital services will ensure steady growth for major players like TCS.

TCS Future Outlook ????

Key Growth Drivers:

Expansion in AI and Cloud services.

Continued digital transformation projects across key sectors like BFSI, Manufacturing, and Telecom.

Geographic expansion into emerging markets.

Challenges:

Slower growth in segments like Life Sciences and Healthcare, which may require strategic focus.

Rising employee costs due to high attrition rates across the IT sector could pressure margins.

Overall, TCS is well-positioned to lead the IT sector with its innovation-driven approach and strong financial fundamentals, making it a solid investment choice for long-term growth.

Disclosure ????

This report is based on the consolidated financial results for Q2 FY25 of Tata Consultancy Services (TCS) as extracted from publicly available sources and the financial statements provided in the attached PDF. The analysis includes insights on financial ratios, segment-wise performance, and peer comparison, and is meant for informational purposes only. It is not intended as investment advice.

While every effort has been made to ensure accuracy, users are advised to consult financial professionals and conduct their own analysis before making any investment decisions. The financial information is accurate as of the reporting date, and subsequent changes may not be reflected.

### *???? Zomato Q2_fy25 Result Update:*

### *???? About the Company:*

Zomato is a prominent Indian online food delivery ???? and restaurant discovery platform ???? that has diversified into segments like quick commerce ????, B2B supplies (Hyperpure) ????, and entertainment ticketing ???? through acquisitions. Its core business includes food ordering and delivery, quick commerce, and B2B supplies to restaurants.

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### *???? Industry Overview:*

Zomato operates in the rapidly growing digital food delivery ???? and quick commerce ???? sectors. The online food delivery market in India is experiencing significant growth ????, driven by urbanization, increased internet penetration ????, and lifestyle changes. However, the market is competitive ????, with key players like Swiggy, Dunzo, and others.

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### *⚖ Peer Companies:*

- *Swiggy:* Zomato’s closest competitor in the food delivery market ????.

- *Dunzo:* Competes in the quick commerce segment ????.

- *BigBasket:* Active in the online grocery delivery segment ????, partially overlapping with Zomato’s quick commerce.

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### *???? Historical Growth of Zomato (Consolidated):*

- Zomato has seen impressive growth over the years, with consolidated adjusted revenue ???? growing from INR 4,640 crore during its IPO in 2021 to INR 20,508 crore on an annualized basis for Q2 FY25.

- The company’s acquisitions, including Paytm’s entertainment ticketing business ???? and Blinkit ????, have further enhanced its service offerings and revenue streams ????.

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### *???? Consolidated Sales Growth:*

- *Q2 FY25 Sales Growth:* Consolidated adjusted revenue grew by *58%* YoY (13% QoQ) to INR 5,127 crore.

- *H1 FY25 Sales Growth:* For the half-year ended September 2024, revenue was INR 9,005 crore, reflecting a YoY growth of approximately *71%* compared to the same period last year (INR 5,264 crore).

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### *???? Segmental Revenue Share and Growth:*

- *Food Delivery ????:* The largest segment, contributing INR 2,012 crore in Q2 FY25, with a YoY growth of *30%*.

- *Hyperpure (B2B Business) ????:* Contributed INR 1,473 crore in Q2 FY25, with a YoY growth of *98%*.

- *Quick Commerce ????:* Showed the highest growth with INR 1,156 crore in Q2 FY25, a YoY increase of *129%*.

- *Going Out (Dining and Entertainment) ????????:* Generated INR 154 crore, up *214%* YoY.

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### *???? Profit Margins:*

- *Q2 FY25 vs. Q1 FY25:* The company recorded an EBITDA of INR 330 crore in Q2 FY25, up from INR 239 crore in Q1 FY25.

- *Q2 FY25 vs. Q2 FY24:* EBITDA improved by INR 289 crore YoY, demonstrating enhanced profitability across business segments ????.

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### *???? Profitability Ratios:*

- *Operating Profit Margin (EBITDA Margin):* Approximately *6.4%* in Q2 FY25, improving significantly from *1.2%* in Q2 FY24.

- *Net Profit Margin:* Zomato recorded a profit of INR 176 crore in Q2 FY25, compared to INR 36 crore in Q2 FY24.

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### *⚖ Leverage Ratios:*

- *Debt-to-Equity Ratio:* Zomato maintains a *low leverage* position, with significant cash reserves of INR 10,800 crore, and no major plans for minority investments or acquisitions in the near term.

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### *???? Other Key Ratios/KPIs:*

- *GOV Growth (Gross Order Value):* *55%* YoY, with food delivery growing *21%* YoY and quick commerce at *122%* YoY.

- *Return on Equity (ROE):* Zomato’s ROE remains positive with improving profitability ????.

- *Inventory Turnover Ratio (Hyperpure):* Increased efficiency in the B2B segment reflected in the substantial revenue growth ????.

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### *???? Near-Term and Future Outlook:*

- *Short-Term ????:* Zomato expects continued strong growth in the quick commerce ???? and entertainment ticketing ???? segments. The food delivery business remains stable ????, with steady growth.

- *Long-Term ????:* Zomato aims to scale further through its diversified revenue streams ???? and expects long-term profitability in all its segments ????. Additionally, its focus on maintaining a strong cash balance ???? will help sustain competitive positioning.

### ???? *Disclosure:*

We are not a tip provider, we should check the data and invest accordingly if we feel confident.

Pidilite Industries Q2 FY25 - Key Highlights

Net Sales: ₹3,223 Cr ????⬆️ (5.2% YoY growth)

EBITDA: ₹769 Cr ????⬆️ (13.1% YoY growth)

Profit Before Tax: ₹725 Cr ????⬆️ (16.6% YoY growth)

Profit After Tax: ₹540 Cr ????⬆️ (17.8% YoY growth)

EBITDA Margin: 24.6% ????⬆️ (up by 143 bps YoY)

Consumer & Bazaar Segment:

Sales: ₹2,385 Cr ????⬆️ (5.1% YoY growth)

PBIT Margin: 31.3% ????⬆️

Business to Business Segment:

Sales: ₹613 Cr ????⬆️ (15.4% YoY growth)

PBIT Margin: 18.1% ????⬆️

???? Hindustan Unilever Limited (HUL) Q2 FY25 Results Summary ????

???? Turnover: ₹15,319 crore (+2% YoY)
???? Volume Growth: 3%
???? EBITDA Margin: 23.8% (down 80 bps)
???? Profit After Tax: ₹2,612 crore (down 4% YoY)

Segment-Wise Performance:

???? Home Care: Strong volume growth (+8%), led by premium products.
???? Beauty & Wellbeing: 7% growth, driven by brands like Sunsilk, Dove, and Tresemme.
???? Personal Care: Revenue down 5%, mitigated by premium portfolio growth.
???? Foods & Refreshments: Slight decline (-2%), but strong performance in Tea & Coffee.
???? Key Financial Ratios:

???? Gross Margin: 50.4% (down 150 bps)
???? EBITDA Margin: 23.8% (down 80 bps)
???? Outlook: Continued focus on premiumisation, innovation, and e-commerce growth.

For more information:

CDSL Q2 FY 2025 Financial Results – Key Highlights
Total Income: ₹359 crore (⬆ 56.1%)
Net Profit: ₹162 crore (⬆ 48.6%)
Issuer Income: ₹80 crore (⬆ 27%)
Transaction Charges: ₹83 crore (⬆ 66%)
IPO/CA Income: ₹52 crore (⬆ 100%)
Online Data Charges: ₹66 crore (⬆ 61%)
Market Leadership: CDSL outperformed its primary competitor, NSDL, achieving a 55% market share and setting new benchmarks in revenue and digital innovation.