For Havells, a slow recovery on the cards
- In a post-earnings call, the company’s management said it expected Lloyd to clock a low double-digit contribution margin in Q4.
There is no relief for investors in Havells India Ltd stock from its subdued operating performance. In the September quarter (Q2FY23), absorption of high-cost inventory dented Havells’ standalone Ebitda (earnings before interest, tax, depreciation and amortization) margin. The metric dropped by a whopping 595 basis points year-on-year (y-o-y) to 7.8%, a multi-quarter low. One basis point is 0.01%. The stock fell by 3% on Thursday on NSE.