External broker reports(aggregated public sources), Axis Direct

Axis Direct

External broker reports(aggregated public sources)

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

<ul><li>The company achieved a strong all-round performance despite weak and challenging demand environment witnessing a volume growth of 13.9% YoY in CY23.</li><li>This growth was primarily fueled by robust double-digit volume expansion in both Indian and international markets.</li><li>Additionally, the realization per case increased by 7% to Rs 176, attributed to a more favourable product mix emphasizing 250 ML smaller SKUs (with higher realization per unit), greater prominence of the Sting portfolio, and enhanced realization in international markets.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

The company achieved a strong all-round performance despite weak and challenging demand environment witnessing a volume growth of 13.9% YoY in CY23.This growth was primarily fueled by robust double-digit volume expansion in both Indian and international markets.Additionally, the realization per case increased by 7% to Rs 176, attributed to a more favourable product mix emphasizing 250 ML smaller SKUs (with higher realization per unit), greater prominence of the Sting portfolio, and enhanced realization in international markets.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Varun Beverages Ltd - Robust All-Round Performance

<ul><li>The company’s robust all-around performance was led by volume growth of 18% YoY (~14% in CY23), driven by strong double-digit volume growth in the Indian and international markets.</li><li>The realization in CY23 grew by 7% at Rs 176/case, led by an improved product mix of smaller SKUs (205 ml-smaller SKUs have higher realization), increased salience of the sting portfolio in the domestic market, and improved realization in international markets.</li><li>Gross and EBITDA margin expanded by 34bps/179bps YoY to 56.6%/15.7% on account of lower PET prices, higher realization, and operational efficiencies.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

The company’s robust all-around performance was led by volume growth of 18% YoY (~14% in CY23), driven by strong double-digit volume growth in the Indian and international markets.The realization in CY23 grew by 7% at Rs 176/case, led by an improved product mix of smaller SKUs (205 ml-smaller SKUs have higher realization), increased salience of the sting portfolio in the domestic market, and improved realization in international markets.Gross and EBITDA margin expanded by 34bps/179bps YoY to 56.6%/15.7% on account of lower PET prices, higher realization, and operational efficiencies.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Varun Beverages Ltd - STRONG VOLUME-LED GROWTH CONTINUES; MAINTAIN BUY

<ul><li>VBL is the second largest franchisee of PepsiCo in the world (outside the USA).</li><li>Products manufactured by VBL include Carbonated Soft Drinks - Pepsi, Mountain Dew, Seven Up, and Mirinda; Non-Carbonated Beverages – Tropicana Slice, and Tropicana Frutz; and Bottled water – Aquafina.</li><li>The company accounts for ~90% of PepsiCo’s beverage sales volume in India and is present in 27 States and 7 UT. It is also the exclusive bottler for PepsiCo in Nepal, Sri Lanka, Morocco, Zambia, and Zimbabwe. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

VBL is the second largest franchisee of PepsiCo in the world (outside the USA).Products manufactured by VBL include Carbonated Soft Drinks - Pepsi, Mountain Dew, Seven Up, and Mirinda; Non-Carbonated Beverages – Tropicana Slice, and Tropicana Frutz; and Bottled water – Aquafina.The company accounts for ~90% of PepsiCo’s beverage sales volume in India and is present in 27 States and 7 UT. It is also the exclusive bottler for PepsiCo in Nepal, Sri Lanka, Morocco, Zambia, and Zimbabwe. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Varun Beverages: Expanding Its Footing in the African Market

<ul><li>VBL delivered robust all-around performance, which was led by volume growth of 15.4% YoY and an increase in realization growth, up 5.6% YoY.</li><li>The said realization growth was led by strong growth in the international market.</li><li>The company’s International business reported 17.5% growth, thanks to the improved product mix, market share gains, and effective implementation of GTM strategy. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

VBL delivered robust all-around performance, which was led by volume growth of 15.4% YoY and an increase in realization growth, up 5.6% YoY.The said realization growth was led by strong growth in the international market.The company’s International business reported 17.5% growth, thanks to the improved product mix, market share gains, and effective implementation of GTM strategy. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Varun Beverages Ltd - Strong Volume Led Growth; Maintain BUY

Consumer Analyst / Channel Surveillance Specialist, Trudence Capital Advisors

Pranav Bhavsar

Consumer Analyst / Channel Surveillance Specialist

Trudence Capital Advisors

Trudence Capital Advisors Private Limited is a SEBI-registered Research Analyst, holding SEBI registration number INH000015747. Our firm is dedicated to providing independent and unbiased research on Indian mid to large-cap companies. Trudence Capital is known for its counter-consensus views, with a focus on forensic research and on-ground primary investigations. Our research approach is thorough, involving detailed analysis of accounting practices and governance, alongside extensive channel checks.

Independent & Unbiased Research

<ul>
<li>Our flash checks across a couple of dealers indicate pressure on margins across the industry. <a href="https://www.smartkarma.com/entities/voltas-ltd" target="_blank" data-smartkarma-citation="entities:19924:1" rel="noopener">Voltas Ltd (VOLT IN)</a> is trying hard to gain market share.</li>
<li>Other names discussed include <a href="https://www.smartkarma.com/entities/pnb-housing-finance-ltd" target="_blank" data-smartkarma-citation="entities:23613:1" rel="noopener">PNB Housing Finance Ltd (PNBHOUSI IN)</a>, <a href="https://www.smartkarma.com/entities/vedant-fashions-limited" target="_blank" data-smartkarma-citation="entities:34260:1" rel="noopener">Vedant Fashions (MANYAVAR IN)</a> and <a href="https://www.smartkarma.com/entities/bandhan-bank-ltd" target="_blank" data-smartkarma-citation="entities:26705:1" rel="noopener">Bandhan Bank Ltd (BANDHAN IN)</a>. </li>
<li>
<a href="https://www.smartkarma.com/entities/varun-beverages-ltd" target="_blank" data-smartkarma-citation="entities:23653:1" rel="noopener">Varun Beverages (VBL IN)</a> and <a href="https://www.smartkarma.com/entities/schaeffler-india-ltd" target="_blank" data-smartkarma-citation="entities:6434:1" rel="noopener">Schaeffler India (SCHFL IN)</a> show up as interesting ARs to read. </li>
</ul>


Our flash checks across a couple of dealers indicate pressure on margins across the industry. Voltas Ltd (VOLT IN) is trying hard to gain market share.
Other names discussed include PNB Housing Finance Ltd (PNBHOUSI IN), Vedant Fashions (MANYAVAR IN) and Bandhan Bank Ltd (BANDHAN IN). 

Varun Beverages (VBL IN) and Schaeffler India (SCHFL IN) show up as interesting ARs to read. 


[#22] Namaste India 🙏 | Voltas Ltd (VOLT IN) | Margin Pressure to Continue

India

Varun Beverages Limited produces and distributes beverages. The Company offers carbonated soft drinks and non-alcoholic beverages, as well as provides packaged drinking water. Varun Beverages serves customers worldwide.

Varun Beverages (VBL IN)

Varun Beverages Ltd - Robust All-Round Performance

The company achieved a strong all-round performance despite weak and challenging demand environment witnessing a volume growth of 13.9% YoY in CY23.

Axis Direct

Varun Beverages Ltd - STRONG VOLUME-LED GROWTH CONTINUES; MAINTAIN BUY

The company’s robust all-around performance was led by volume growth of 18% YoY (~14% in CY23), driven by strong double-digit volume growth in the...

Axis Direct

Varun Beverages: Expanding Its Footing in the African Market

We maintain our BUY rating on the stock with the revised TP of Rs 1,450/share (47x CY25EPS) vs. the earlier TP of Rs 1,200/share (45x CY25 EPS)

Axis Direct

Varun Beverages Ltd - Strong Volume Led Growth; Maintain BUY

VBL delivered robust all-around performance, which was led by volume growth of 15.4% YoY and an increase in realization growth, up 5.6% YoY.

Axis Direct

[#22] Namaste India 🙏 | Voltas Ltd (VOLT IN) | Margin Pressure to Continue

Industry margins under pressure, Voltas Ltd striving for market share. Other companies discussed include PNB Housing Finance Ltd, Vedant Fashions,...

Pranav Bhavsar

Varun Beverages Ltd - Robust All-Round Performance

The company achieved a strong all-round performance despite weak and challenging demand environment witnessing a volume growth of 13.9% YoY in CY23.

Axis Direct

Varun Beverages Ltd - STRONG VOLUME-LED GROWTH CONTINUES; MAINTAIN BUY

The company’s robust all-around performance was led by volume growth of 18% YoY (~14% in CY23), driven by strong double-digit volume growth in the...

Axis Direct

Varun Beverages: Expanding Its Footing in the African Market

We maintain our BUY rating on the stock with the revised TP of Rs 1,450/share (47x CY25EPS) vs. the earlier TP of Rs 1,200/share (45x CY25 EPS)

Axis Direct

Varun Beverages Ltd - Strong Volume Led Growth; Maintain BUY

VBL delivered robust all-around performance, which was led by volume growth of 15.4% YoY and an increase in realization growth, up 5.6% YoY.

Axis Direct

[#22] Namaste India 🙏 | Voltas Ltd (VOLT IN) | Margin Pressure to Continue

​Industry margins under pressure, Voltas Ltd striving for market share. Other companies discussed include PNB Housing Finance Ltd, Vedant Fashions,...

Pranav Bhavsar

Industry margins under pressure, Voltas Ltd striving for market share. Other companies discussed include PNB Housing Finance Ltd, Vedant Fashions,...