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News: Topline was up 9.4% YoY at Rs 1205 crore. Tiles sales volumes were up ~8% YoY at 28 MSM. Three-year volume CAGR was at ~15%. Tiles revenues were up 8.4% YoY at Rs 1084 crore, with pricing growth of ~1.6% YoY. EBITDA was at Rs 176 crore, up 6% YoY, with resultant margins at 14.6%, down 46 bps YoY but up 241 bps QoQ, on account of sequential decline in gas prices and benefits of alternate fuel in the overall mix. PAT was at Rs 108.1 crore, up 12.9% YoY, 45.5% QoQ, given the operating performance.
Views: The performance was healthy and benefits of lower gas prices are visible and likely to have more flow through effect, going ahead. We highlight that the management has guided for ~15% YoY volume growth in the tiles segment and ~18% revenues growth during FY24. This, coupled with margins improvement will drive healthy earnings recovery ahead.
Impact: Positive