HIL Ltd. - Strong FY18 Perf, Strong Dd, Margin Levers + Healthy BS to Drive 30%+ Earnings CaGR

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

<p>This is a follow-on to our note published recently post results of HIL Ltd. wherein we had highlighted our positive view on the stock. We have now firmed up on our assumptions and estimates, using inputs from our interaction with the mgt./ peers and channel sources. </p><p>Pls read this note in conjunction with the last published report.</p><p><strong>Business Outlook -</strong></p><table class="table table-striped"><tbody>
<tr><td>Roofing Solutions</td></tr>
<tr><td>Revenue growth 10% YoY in FY18, with volume growth at 7% YoY and balance mix and pricing.</td></tr>
<tr><td>Off the Rs. 8200mn topline, Fibre cement</td></tr>
</tbody></table>…

This is a follow-on to our note published recently post results of HIL Ltd. wherein we had highlighted our positive view on the stock. We have now firmed up on our assumptions and estimates, using inputs from our interaction with the mgt./ peers and channel sources. Pls read this note in conjunction with the last published report.Business Outlook -
Roofing Solutions
Revenue growth 10% YoY in FY18, with volume growth at 7% YoY and balance mix and pricing.
Off the Rs. 8200mn topline, Fibre cement
…

HIL Ltd - Follow-On Note - Post Mgt Interaction, Retain 'strong Buy' Reco