Earnings Report /
Pakistan

Nishat Chunian: 4QFY21 Review: Higher-than-expected gross margins led to earnings beat

  • NCL posted its highest ever quarterly EPS of PKR9.93 in 4Q (FY21 EPS of PKR23.32), beating our estimate of PKR7.96

  • GMs rose a sharp c.5ppt, due to significant surge in the Spinning segment on the back of higher yarn prices, in our view

  • We reiterate our Buy stance on NCL with a June 2022 TP of PKR70/sh amid robust order flows

Abdul Ghani Mianoor
Intermarket Securities
28 September 2021