As highlighted in our update note two weeks ago, JUBI’s competitive positioning will get stronger as a result of the corporate tax cuts. Moreover, the challenge of a high SSSG base eases significantly going forward and JUBI
ASK increased by 24% y-o-y to 24.2 billion km. The company added ~10 new planes during the quarter, with addition of seven new domestic and six new international routes (China – 2, Vietnam – 2, Myanmar – 1, Saudi Arabia
Petrochemical Ebit stood at Rs 75 bn (-6% y-o-y, flat q-o-q), led by pressure on product spreads due to the global supply glut. Implied Ebitda (USD/mt) was lower at $317 (-22% y-o-y, -27% q-o-q) due to a sequential contractio
EBITDA margin improved 20bp YoY (+80bp Q-o-Q) to 8.8% (our estimate: 7.8%). Low tax boosted adj. PAT to ~ Rs 1.8 billion (our estimate: ~ Rs 1.5 billion), a decline of ~15% Y-o-Y. For 1HFY20, revenue/EBITDA/PAT were down ~4%/
Other income grew 30% Y-o-Y, led by a significant rise of 27% in fee income. Total income growth (15% YoY) trailed opex growth, resulting in muted 3% Y-o-Y growth in PPoP, while the C/I ratio was up ~410bp QoQ to 53.5%.
Although July-September is the strongest quarter for the industry, softening BFS momentum (owing to macro concerns in Europe and weak spending by capital market clients across geographies) is a cause for concern.