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ICRA - Margins continue to remain under pressure - Emkay

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.

Source: Equity Bulls

Posted On: 2013-01-29 21:10:06

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Disclaimer:The article above is a gist / extract of the original report prepared by the research firm / brokerage firm. This article is not to be considered as an offer to sell or a solicitation to buy any securities. This article is meant for general information only. www.equitybulls.com, its employees or owners or the research firms, its employees or owners won't be responsible for any liability that may arise from information, errors or omissions in these articles. www.equitybulls.com or its employees or owners / the research firms or its employees or clients or owners may from time to time hold positions in securities referred in this article. For detailed research reports, please contact the concerned research firm directly.





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