- 23 May 2022
- ICICIdirect Research
ZF COMMERCIAL POSTS HEALTHY NUMBERS FOR Q4FY22
ZFCVINDIA - 11727 Change: 111.50 (0.96 %)News: Total operating income for the quarter came in at Rs. 782 crore, up 20% QoQ. EBITDA for the quarter was at Rs. 89 crore with margins coming at 11.4%, up 240 bps QoQ. PAT for the quarter was at Rs. 56.6 crore, up 78% QoQ. On a full year basis i.e. FY22, total operating income was at Rs.2,543 crore, up 37% YoY; EBITDA was at Rs. 253 crore with corresponding EBITDA margins at 9.9%, down 110 bps YoY and PAT was at Rs.142 crore, up 37% YoY
Views: The company witnessed highest ever quarterly sales in the last four years and largely followed sequential improvement in domestic CV volumes. The company also realised significant operating leverage benefits amid gross margin decline of 80 bps on a QoQ basis. Going forward, with a cyclical recovery underway in the CV space, especially the M&HCV segment and new promoters (ZF group) intent to enhance sourcing from Indian entities, we expect the company to report healthy and profitable growth, going forward
Impact: Positive