HDFC Securities has downgraded Aditya Birla Fashion & Retail to add from buy with a target price of Rs 120, based on 23 times FY22 EV/EBITDA. According to the brokerage, the company delivered a reasonable FY20 (pre-Covid) normalized revenue/EBITDA growth of 12/15 per cent to Rs 90.8/7.1 billion respectively as both Madura and Pantaloons performed well. Rep. Revenue/Adjusted EBITDA, however grew 7.7 per cent/declined 16 per cent year on year to Rs 87.4/4.7 billion respectively. as the lockdown disrupted demand in March 2020. For the fourth quarter, revenue declined 5 per cent to Rs 18.2 billion against the brokerage estimate of Rs 17.63 billion). However, margins disappointed at -3.1 per cent vs the brokerage estimate of -1 per cent). In the earnings call, the management said that the first 11 months of FY20 were going in line with the company’s plans leading to an almost perfect year. It was only with the advent of Covid-19 that led to an economic standstill negatively … [Read more...] about Add Aditya Birla Fashion & Retail, target price Rs 120: HDFC Securities
Target store closures
9:15 a.m. Stanford president offers details on financial losses: Stanford president Marc Tessier-Lavigne said the school projects it will lose $267 million because of the COVID-19 crisis from March 1 through Aug. 31, which marks the end the 2020 fiscal year. Tessier-Lavigne, in a letter to the university community, said he “expects our financial challenges to be as great or even greater” in the next fiscal year. He cited reduced housing revenue, limited income-producing programs and increased expenses, such as student financial aid. Tessier-Lavigne pledged to pay university employees through Aug. 31, but he also said workforce reductions will be “unavoidable” to start the new fiscal year on Sept. 1. … [Read more...] about Coronavirus live updates: Apple’s Genius help, store pickups return in Bay Area
It had grown rapidly in the nine years since the transaction was completed, nearly doubling the number of stores. But it has also accumulated far more debt. It had $50 million of long-term debt on its books in 2010, before the deal was announced -- and as of February of this year that number had ballooned to $1.7 billion. … [Read more...] about 6 companies that filed for bankruptcy in May
She’s managed to retain her staff of five at the store, which sells one of the largest assortments of woks and other Chinese cookware. She has a basement that functions as her warehouse, where she and her staff do most of the packaging. Before the pandemic, online sales made up half of her business, but now it’s closer to 70%, she said. She averages 50 shipments a day, an increase of roughly 20% from mid-March, though revenue is down about 20%. It used to average about $40,000 per month, she said. … [Read more...] about Will e-commerce help small business survive coronavirus fallout?
Rioters hurled a variety of projectiles at officers, the 3rd Precinct building and squad cars, while rubber bullets and tear gas canisters were launched by police. Businesses several miles west on Lake Street also reported looting, including in Uptown’s densely-packed business district along Hennepin Avenue. … [Read more...] about Unrest After George Floyd’s Death: Violence Spans Twin Cities, 3rd Precinct Overtaken & Burned, CNN Reporter Arrested