Affle India soars 10% on healthy Q2 results; Nomura initiates 'buy' call

Nomura expects Affle to grow revenues/EPS at 34/39 per cent CAGRs over FY19-22F led by market share gains, especially in its focus geographies of India and emerging markets.

Shares of Affle (India) surged 10 per cent to Rs 1,538, in the intra-day trade, on the BSE on Monday after the company reported a healthy 41 per cent year on year (YoY) jump in EBITDA (earnings before interest, tax, depreciation and amortisation) at Rs 21.7 crore in September quarter (Q2FY20). The margin improved to 25.7 per cent from 25.6 per cent relative to last year.

For Q2FY20, the company’s consolidated revenue grew 40 per cent YoY at Rs 84.7 crore. Net profit, too, rose 51 per cent at Rs 15.6 crore on YoY basis.

The stock, which was trading at its