Dozens of companies will report their September quarter earnings today. Among them are One 97 Communications (Paytm), PB Fintech (Policybazaar), Coal India, BPCL & Divis Labs. Analyst estimates suggest BPCL, Paytm and Policybazaar may report losses for the September quarter. Divis Labs is seen reporting a flattish growth in Q2 profit while Coal India is expected to report a strong growth in Q2 bottom line.
Coal India: Elara Securities said Coal India’s production increased to 299 million tonnes until September FY23 against 249.8 million tonnes for the same period in FY22. Growth in total offtake over April-September FY23 stood at 8 per cent with the company shoring up supplies to 332.2 million tonne. Offtake for the similar period last year was 307.9 million tonnes, it noted.
Coal availability was cause for concern over January-June, but the situation has stabilised after the company ramped up production to support power plants, it said. The brokerage expects Coal India to report an 80.1 per cent YoY rise in profit at Rs 5,285.90 crore on an 13.4 per cent YoY rise in sales at Rs 26,423 crore. Ebitda is seen rising 75.5 per cent YoY to Rs 6937.70 crore.
BPCL:┬аEdelweiss expects BPCL to report Ebitda loss of Rs 1,800 crore in Q2 on weak marketing revenues,┬а partially offset by modest refining growth. Marketing margins would remain subdued on higher crude prices and nil price hikes during the quarter. They would partially be offset by a 12 per cent YoY growth in volumes, Edelweiss said. It expects refining business to remain modest, given elevated GRMs offset by weak throughput on maintenance related shutdown across refineries. Net-net, it sees Q2 loss at Rs 3,608.50 crore. The brokerage sees sales for BPCL rising 45.2 per cent YoY to Rs 12,812.10 crore.
One 97 Communications (Paytm):┬аYES Securities said that a steady loan disbursements and new device additions should help Paytm post healthy sequential growth in revenue. The brokerage sees a 15.3 per cent YoY growth in revenue from operations. It anticipated an improvement in Payment Processing Charges (PPC) as a proportion of payments revenue to 62 per cent from 64 per cent in the June quarter.
“We arrive at a Total Expenses (ex PPC) growth of 10 per cent QoQ, compared with 8 per cent in Q1FY23, resulting in an EBitda margin of minus 30.8 per cent, an improvement of 698 bps QoQ,” the brokerage said. Overall, it sees Q2 loss at Rs 602.30 crore. It sees revenues rising 78.2 per cent YoY to Rs 1,936 crore.
PB Fintech (Policybazaar):┬аB&K Securities expects PB Fintech to report an adjusted loss of Rs 177.80 crore for the September quarter. It sees revenue for the quarter soaring 93.2 per cent YoY to Rs 540.10 crore. The operator of Policybazaar is likely to continue to grow sequentially and POSP losses is a key monitorable, the brokerage said, as it sees Ebitda margin for the transaction company at minus 38.9 per cent against minus 75.7 per cent YoY.┬а┬а┬а
Divis Labs:┬аEdelweiss expects expect Divis to continue its growth streak with top line growth expected at 16 per cent. Gross margin and Ebitda margin are expected remain at healthy levels of 65 per cent and 39 per cent, benefitting from backward integration of starting material, de-bottlenecking activities and currency tailwinds. Profit for the quarter is seen at Rs 625.70 crore, up 2.3 per cent YoY. Sales are seen at Rs 2305.50 crore, up 16 per cent YoY.┬а
Also Read: Q2 result previews: Paytm, PB Fintech, Coal India, BPCL & Divis Labs
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