Views on Sesa Sterlite 3QFY2014 results - Angel Broking

Views of Mr. Bhavesh Chauhan (Sr. Research Analyst - Metals & Mining, Angel Broking) on Sesa Sterlite 3QFY2014 results:

Sesa Sterlite net profit slightly above street estimates

"Sesa Sterlite's (Sesa) 3QFY2014 net profit was above street expectations. Actual 3QFY2014 results are not comparable with 3QFY2013 results as the two companies, Sesa Goa and Sterlite Industries were merged during August 2013 to form Sesa Sterlite. Sesa's 3QFY2014 net sales stood at Rs. 19,523cr. Its EBITDA stood at Rs. 6,572cr while its reported net profit stood at Rs. 1,868cr. There was no iron ore production during the quarter due to ban in Goa; however, the company's iron ore production in Karnataka commenced production during the quarter (annual capacity 2.29mn tonnes). We believe that commencement of iron ore mining in Goa is likely to take its own time (as witnessed in Karnataka over the past two years). We keep our rating and target price under review."

Sesa Sterlite 3QFY2014 Result Review (CMP: Rs. 915/ Target Price: Under review/ Recommendation: Under review)

Source : Equity Bulls

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