Revenue Beat: Apcotex Industries Limited Beat Analyst Estimates By 5.5%
Shareholders might have noticed that Apcotex Industries Limited (NSE:APCOTEXIND) filed its quarterly result this time last week. The early response was not positive, with shares down 8.4% to ₹477 in the past week. Results overall were respectable, with statutory earnings of ₹19.56 per share roughly in line with what the analyst had forecast. Revenues of ₹5.0b came in 5.5% ahead of analyst predictions. The analyst typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analyst has changed their mind on Apcotex Industries after the latest results.
Taking into account the latest results, Apcotex Industries' lone analyst currently expect revenues in 2027 to be ₹17.4b, approximately in line with the last 12 months. Statutory earnings per share are predicted to swell 17% to ₹38.40. In the lead-up to this report, the analyst had been modelling revenues of ₹17.4b and earnings per share (EPS) of ₹38.40 in 2027. The consensus analyst doesn't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
Check out our latest analysis for Apcotex Industries
The consensus price target fell 5.7% to ₹660, suggesting that the analyst might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the quarterly results.
Of course, another way to look at these forecasts is to place them into context against the industry itself. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 1.8% by the end of 2027. This indicates a significant reduction from annual growth of 12% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 12% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Apcotex Industries is expected to lag the wider industry.
The Bottom Line
The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analyst holding their earnings forecasts steady, in line with previous estimates. Fortunately, the analyst also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Apcotex Industries' revenue is expected to perform worse than the wider industry. The consensus price target fell measurably, with the analyst seemingly not reassured by the latest results, leading to a lower estimate of Apcotex Industries' future valuation.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At least one analyst has provided forecasts out to 2028, which can be seen for free on our platform here.
Before you take the next step you should know about the 2 warning signs for Apcotex Industries (1 is concerning!) that we have uncovered.
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