Shares of Page Industries slumped to a 52-week low on Friday after the company reported dismal quarterly results. The shares of Page Industries touched Rs 17,438.45 per share in the early trade, nearly 6 per cent from the previous close.
Shares of Page Industries slumped to a 52-week low on Friday after the company reported dismal quarterly results. The shares of Page Industries touched Rs 17,438.45 per share in the early trade, nearly 6 per cent from the previous close. The shares had opened lower in the morning at Rs 1,7654 per share. Page Industries reported an 11 per cent decline in its Q1FY20 results at Rs 110.6 crore as compared with Rs 124.4 crore in the same period of last year. The company’s revenue grew 2.4 per cent at Rs 835 crore on- yearly basis. It had registered a profit of Rs 815.3 crore a year ago during the same quarter.
Page Industries’ board declared an interim dividend of Rs 51 per equity share. The record date fixed for the interim dividend payment is August 20, 2019. The company’s earnings before interest, tax, depreciation and amortization or EBITDA decreased to Rs 186.6 crore. Its margin fell to 22.3 per cent.
“Page Industries reported another tepid performance, with results coming in below our estimates across all parameters. Revenues for the quarter grew marginally by 2.4% YoY to Rs 835.0 crore. On account of negative operating leverage, EBITDA margins (adjusted for IND-AS 116) declined by 190 bps YoY to 21.3% ). Following the weak operational performance, PAT declined by 11% YoY to Rs 110.7 crore,” ICICI Securities said in a report.
Taking stock of the company’s quarterly earning brokerage house Credit Suisse has maintained Underperform on the stock with a target price of Rs 15,500 per share. The brokerage firm has cut its FY20-21 earning estimates by 9-11 per cent and target multiple to 35x, according to CNBC TV18. Page Industries, also known as Jockey India, is the licensee of Jockey International and Speedo in India and Sri Lanka. It was founded in 1995 by the Genomal family. The company is engaged in the manufacturing, distribution and marketing of innerwear, athleisure, sleepwear and swimwear for men, women and kids.