Hold KPR Mill, target price Rs 635: ICICI Direct

ICICI Direct has hold call on KPR Mill with a target price of Rs 635. The current market price of KPR Mill Ltd. is Rs 526.85. Time period given by analyst is one year when KPR Mill Ltd. price can reach defined target.

KPR Mill Ltd., incorporated in the year 2003, is a Mid Cap company (having a market cap of Rs 18189.63 Crore) operating in Textiles sector.

KPR Mill Ltd. key Products/Revenue Segments include Yarn, Garments, Fabric, Waste (Cotton), Export Incentives, Sale of services, Other Operating Revenue, Accessories for the year ending 31-Mar-2021.



Financials
For the quarter ended 31-03-2022, the company reported a Consolidated Total Income of Rs 1461.33 Crore, up 13.64 % from last quarter Total Income of Rs 1285.88 Crore and up 29.35 % from last year same quarter Total Income of Rs 1129.72 Crore. Company reported net profit after tax of Rs 219.78 Crore in latest quarter.

Investment Rationale
Expected lower demand from global clients has led to lowering of revenue estimates. Also the brokerage expects the margins to be negatively impacted in near term owing to high cotton prices hence it has reduced EBITDA margin estimates.

Promoter/FII Holdings
Promoters held 74.72 per cent stake in the company as of 31-Mar-2022, while FIIs owned 4.33 per cent, DIIs 11.98 per cent.