Accumulate Cairn India - IIFL

- Net sales at Rs. 2,242crs declined 43.7% yoy and were tad lower than our expectations due to lower than expected production. Net working interest production for Q2 FY16 was at 128,021boepd, an increase of 3.9% yoy but a modest decline of 1.9% qoq

- OPM falls 26.4ppts yoy and 860bps qoq to 43.7% owing to sharp fall in crude oil realizations

- Company reported a PAT of Rs. 673crs a fall of 70.5% yoy owing to sharp fall in operating profit offset by lower exploration write offs, 58.5% yoy jump in foreign exchange gain and tax write-back of Rs131crs

- Maintains guidance of a flat production for FY16 and FY17 under current crude pricing and capex commitments

- Cut estimates to factor in lower crude oil prices but maintain our Accumulate rating on the stock.

Shares of CAIRN INDIA LTD. was last trading in BSE at Rs.158.25 as compared to the previous close of Rs. 154.05. The total number of shares traded during the day was 402949 in over 5266 trades.

The stock hit an intraday high of Rs. 160.5 and intraday low of 152.55. The net turnover during the day was Rs. 63907506.

Source : Equity Bulls

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