FIEM - In-Line Q4-FY18 / FY18 Results, Re-Iterate Thesis

FIEM- Strong & Sust. Growth in Core Auto 2W Lighting, Recent MoU on Canister +ve; Worst over in LED

Independent Research Analyst

Mamta Verma

DC India Research

DC India Research LLP (DCIR) is based out of Mumbai, India.

We specialize in providing customized, independent research across listed and unlisted companies in India across equities and credit including sectoral research. Our customers include India focussed PE funds, special situation funds, domestic AMCs, Wealth Advisory& PMS firms, Rating Agencies & Investment Advisors. 

The DCIR board consists of prominent names from the industry as well as CIO’s of Hedge funds.

Equity Bottom-Up

FIEM Industries – Strong Q3-FY18 with healthy topline &amp; EBITDAM expansion resulting in 40% YoY growth in PAT – Maintain Investment Thesis<ol>
<li>Topline – FIEM reported strong topline growth of 22% YoY in Q3-FY18 and 17%+ in 9M-FY18, mainly led by sales in the automotive segment.</li>
<li>EBITDA – Core operating profit grew 12.5% YoY in Q3-FY18 and 11.5% in 9M-FY18. Q3-FY18 saw benefit of gross profit margin expansion of over 300bps, though elevated employee and other expenses resulted in only 100bps EBITDA…</li>
</ol>

FIEM Industries – Strong Q3-FY18 with healthy topline &amp; EBITDAM expansion resulting in 40% YoY growth in PAT – Maintain Investment Thesis
Topline – FIEM reported strong topline growth of 22% YoY in Q3-FY18 and 17%+ in 9M-FY18, mainly led by sales in the automotive segment.
EBITDA – Core operating profit grew 12.5% YoY in Q3-FY18 and 11.5% in 9M-FY18. Q3-FY18 saw benefit of gross profit margin expansion of over 300bps, though elevated employee and other expenses resulted in only 100bps EBITDA…


FIEM – Strong Q3-FY18 with Healthy Topline & 40% YoY Growth in PAT – Maintain Investment Thesis

Fiem Industries

FIEM – Strong Q3-FY18 with Healthy Topline & 40% YoY Growth in PAT – Maintain Investment Thesis