The 1% de-growth in volumes was disappointing, though productivity increases were significant. Increased efficiency in run-the-business projects has resulted in improved efficiencies though at the cost of volume growth, we understand. Margins were in line with expectations.
The volume performance is much lower than that reported by peers. We expect the stock to attract better valuations once volume growth starts improving.
Mr. Dipen Shah, Head of PCG (Private Client Group) Research, Kotak Securities
