Siyaram Silk Mills Limited is a Small Cap Textile company registered Market Cap of 2,664.80 crore during Friday’s closing. Following the company’s excellent fourth quarter earnings, brokerage firm ICICI Direct has predicted a 52-week high on the stock.
The net sales of the company in Q4FY23 were 695 Cr, up 10.6% YoY 628 Cr in Q4FY22. Its Ebitda was 121 crores in the March 2023 quarter, a growth of 3.1% year-on-year 117 crore in the March 2022 quarter. Siyaram Silk Mills registered a net profit of Rs. 88 crore in the March 2023 quarter, a growth of 14.3% year-on-year 77 crore in the same period last year. and its net debt for FY23 was 208 crore, with a net debt-to-equity ratio of 0.02x.
“Siyaram Silk Mills reported a stable operating performance amid a challenging business scenario. SSML reports improved revenue performance in Q4 FY2023 with 11% growth in consolidated revenue 695 crores (three year CAGR of 14% on a favorable basis due to the impact of Covid in March 2020). Gross margin declined 70 bps year-on-year to 39.1% (Q3FY23: 42.3%) due to rising raw material costs. EBITDA margin declined by 130 bps to 17.5% due to higher Opex. EBITDA up by 3% YoY 121 crores. As a result, the company registered a PAT growth of 14% YoY 88.1 Cr Vs PAT’s 77.3 cr in Q4FY22 (favorable base due to exceptional expenditure 5.3 crore in Q4FY22),” ICICI Direct said in a report.
Buy Siyaram Silk Mills?
Research analysts at ICICI Direct said, “Over the past six years, the share price has grown at 23% CAGR. We maintain a buy recommendation on the stock. We Value SSML 710 ie ~ 10x FY25E EPS.”
siyaram silk mills share price
Friday’s Shares Siyaram Silk Mills closed on NSE down 1.11% from the previous close of 568.25 574.65. The stock touched a 52-week high 592.00 (05-Dec-2022) and 52-week low 399.30 on (29-Mar-2023). As per the shareholding pattern of Siyaram Silk Mills for the January to March 2023 quarter, veteran investor Vijay Kishanlal Kedia held 5,05,000 shares or 1.08% stake in the company.
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint. We advise investors to do due diligence with certified experts before making any investment decision.
Know your inner investor
Do you have guts of steel or are you a victim of insomnia regarding your investments? Let’s define your investment approach.
catch ’em all business News, market news, today’s fresh news events and Breaking News Update on Live Mint. download mint news app To get daily market updates.