Both these entities have strong balance sheets and we expect healthy earnings CAGR for VIP and Safari in the coming two years
PRO Only Highlights
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
India’s two leading listed luggage companies VIP (CMP: Rs 597, Market Cap: Rs 8454 crore) and Safari (CMP: Rs 914 Market Cap: Rs 2045 crore) are back to the pre-Covid days in terms of revenue performance. Notwithstanding inflationary cost pressures, thanks to price hikes and better sales mix, both have reported a sequential jump in gross margin during the recently reported quarter, with VIP’s gross margin at an enviable level. However, the quarterly show was marred by provisions taken…
