ICRA's Q3FY13 op. revenue at Rs652mn slightly below exp led by lower than exp rev from BPA tech. With net loss of Rs10mn in BPA, conso PAT was significantly lower at Rs125mn.
Rating revenue growth remain lower at 6%yoy as expected, as poor credit offtake and sluggish bond market activity continue to impact business.
Slower revenue growth with sharp deterioration in subsidiary's profitability taking toll on margins. Blended EBIDTA margin fell to 25.5% from 39% in Q3FY13.
At CMP the stock trades at 27.1x/22.6x FY13E/14E EPS of Rs52.9 and Rs63.5. Maintain HOLD with price target maintained at Rs1300.