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Analysts cautious on Page Inds even as management view sounds comforting

The firm expects a full recovery in 6-9 months

textile, clothes, industry
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After near 30 per cent correction from its highs this year until June 23, the stock is still trading at over 62 times its FY20 earnings. Representative Image

Shreepad S Aute
Despite significantly weaker-than-expected March 2020 quarter (Q4) results, shares of Page Industries (Page) — the Indian franchisee of popular inner-wear brand ‘Jockey’ —surged over 9 per cent on Wednesday to Rs 20,930. Though the Street had reacted negatively to the results on Tuesday, positive management commentary enthused investors later.

In Q4, Page’s net sales fell 11 per cent year-on-year (YoY) to Rs 541.3 crore, and profit before tax plunged 63 per cent to Rs 43.2 crore, as against consensus estimates of Rs 597 crore and Rs 74.7 crore, respectively.

The miss is despite an improvement in sales mix aided by better offtake

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First Published: Jun 24 2020 | 2:18 PM IST

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