Shaily reports higher export boost revenue growthSHAILY - 1837 Change: -61.95 (-3.26 %)
News: Shailey Engineering reported strong topline growth of 41% YoY in Q3FY22 even on a higher base of Q3FY21 (revenues were up by 20% YoY). Strong revenue growth was led by increased contribution of exports during 9MFY22 (79% in 9MFY22 Vs 72% in 9MFY21) due to addition of new customers. EBITDA margin declined by 380 bps YoY to 14% due to sharp increase in other expenses (up by 360 bps YoY). PAT came in higher by 16% YoY to Rs.9.3 crore
Views: Shaily has added new customers in the Toy and medical device segments over the last one year, which has resulted in strong revenue traction from exports. The company has raised Rs.150 crore in FY22 to fund its capex for next two years to increase the capacity of medical devices and new products for Swedish Furniture major. While we maintain our positive stance on the company, we await management commentary of EBITDA margin outlook going forward.