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Entry Price

291.00

Target

355.00

Recommend Date

11-02-2021

Return

21.99 %
BUY

Date : 11-02-2021

Century Plyboard’s (CPIL) Q3FY21 performance was highlighted by strong plywood growth coupled with robust MDF division growth and balance sheet strengthening (now a net cash company). The topline was up 9.9% YoY to | 654.4 crore. MDF revenue grew 20.6% YoY to | 116.5 crore while plywood revenues grew 10.6% YoY to | 357 crore. EBITDA margin expanded 280 bps YoY to 18.6% on adjusted basis (10.4 percentage points on reported basis as base quarter had impairment loss), on account of operating leverage. Overall, reported PAT was up 2.4x YoY to | 65.9 crore, given the healthy operating performance and impairment in bases quarter. Adjusted PAT was up 40% YoY.