Earnings Miss: K.P.R. Mill Limited Missed EPS By 14% And Analysts Are Revising Their Forecasts
As you might know, K.P.R. Mill Limited (NSE:KPRMILL) recently reported its quarterly numbers. Revenues were in line with forecasts, at ₹19b, although statutory earnings per share came in 14% below what the analysts expected, at ₹7.56 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Following the latest results, K.P.R. Mill's eleven analysts are now forecasting revenues of ₹76.3b in 2027. This would be a meaningful 12% improvement in revenue compared to the last 12 months. Per-share earnings are expected to soar 25% to ₹33.40. In the lead-up to this report, the analysts had been modelling revenues of ₹75.9b and earnings per share (EPS) of ₹31.01 in 2027. So the consensus seems to have become somewhat more optimistic on K.P.R. Mill's earnings potential following these results.
View our latest analysis for K.P.R. Mill
There's been no major changes to the consensus price target of ₹1,170, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic K.P.R. Mill analyst has a price target of ₹1,360 per share, while the most pessimistic values it at ₹1,021. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's clear from the latest estimates that K.P.R. Mill's rate of growth is expected to accelerate meaningfully, with the forecast 16% annualised revenue growth to the end of 2027 noticeably faster than its historical growth of 8.3% p.a. over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 13% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that K.P.R. Mill is expected to grow at about the same rate as the wider industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards K.P.R. Mill following these results. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
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 Simply Wall St, we have a full range of analyst estimates for K.P.R. Mill going out to 2029, and you can see them free on our platform here..
And what about risks? Every company has them, and we've spotted 1 warning sign for K.P.R. Mill you should know about.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.