Havells India (HAVL) reported strong Q4FY10 (standalone) results with PAT growth of 31.8% Y-o-Y, to INR 644 mn, led by strong operating performance
and reduced interest cost during the quarter (down 69.2bps Y-o-Y, to 0.2% of sales). With strong operating performance.
Sylvania’s revenues dipped 9.2%, to INR 6.9 bn, due to depreciation in the EUR. The company, however, reported flat sales Y-o-Y in terms of EUR, at EUR 108
mn, during the quarter. Adjusted for the restructuring cost, EBITDA margin for Sylvania stood at 4.9% during the quarter against 2.7% during Q4FY09. The
management is confident of achieving break-even at PAT for the company during the current year and expects EBITDA margin to improve to 8-9%.
Edelweiss has set target price of INR 730, the stock is trading at 16.3x and 13.4x its FY11E and FY12E earnings, respectively.
Kotak has set target price of INRRs480 with EPS estimates of Rs 31 and 45 for fy 11 and fy12 respectively.
