Indo Count Industries (521016) Q3 23/24 earnings summary

Executive summary

• Q3 FY24 volume rose 33% YoY to 19.5 Mn metres; 9M volume increased 26% to 68.2 Mn metres, with order bunching shifting shipments between quarters.

• Higher volumes and capacity utilization supported performance; FY24 volume guidance remained 90–100 Mn metres, with management expecting the midpoint.

• Priorities include expanding global and domestic markets, growing value-added bedding products, and improving operations through sustainability and digital initiatives.

Financial highlights

• Q3 total income was ₹727 Cr vs ₹662 Cr YoY; EBITDA was ₹118 Cr vs ₹78 Cr and PAT was ₹58 Cr vs ₹38 Cr.

• 9M total income was ₹2,507 Cr vs ₹2,233 Cr; EBITDA was ₹437 Cr vs ₹339 Cr and PAT was ₹246 Cr vs ₹182 Cr.

• Q3 consolidated revenue from operations was ₹713.42 Cr vs ₹657.29 Cr YoY; PBT was ₹78.61 Cr vs ₹41.40 Cr and PAT was ₹58.06 Cr vs ₹37.71 Cr.

• 9M consolidated revenue from operations was ₹2,463.81 Cr vs ₹2,204.47 Cr; PBT was ₹326.45 Cr vs ₹235.14 Cr and PAT was ₹245.98 Cr vs ₹182.06 Cr.

• Q3 consolidated revenue and PAT were lower than Q2, at ₹713.42 Cr vs ₹1,008.96 Cr and ₹58.06 Cr vs ₹114.18 Cr, respectively.

Outlook and guidance

• FY24 volume guidance remains 90–100 Mn metres; management expects the midpoint and good Q4 performance, subject to logistics and geopolitical conditions.

• FY24 EBITDA margin guidance is 16%–18%; capacity utilization is expected at 64%–65%.

• Long-term plan is to double revenue over 3–4 years through volume growth, market-share gains and a richer product mix.

• Value-added categories are targeted to reach 30% of increased revenue, from a current 19% contribution.