Lloyds Metals and Energy Limited Just Missed EPS By 11%: Here's What Analysts Think Will Happen Next

Last week, you might have seen that Lloyds Metals and Energy Limited (NSE:LLOYDSME) released its yearly result to the market. The early response was not positive, with shares down 3.4% to ₹694 in the past week. It was not a great result overall. Although revenues beat expectations, hitting ₹65b, statutory earnings missed analyst forecasts by 11%, coming in at just ₹24.43 per share. This is an important time for investors, as they can track a company's performance in its report, look at what expert is forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimate to see what could be in store for next year.

View our latest analysis for Lloyds Metals and Energy

After the latest results, the one analyst covering Lloyds Metals and Energy are now predicting revenues of ₹91.3b in 2025. If met, this would reflect a major 40% improvement in revenue compared to the last 12 months. Per-share earnings are expected to bounce 72% to ₹42.20. Yet prior to the latest earnings, the analyst had been anticipated revenues of ₹88.3b and earnings per share (EPS) of ₹43.70 in 2025. Overall it looks as though the analyst was a bit mixed on the latest results. Although there was a a major to revenue, the consensus also made a minor downgrade to its earnings per share forecasts.

There's been no major changes to the price target of ₹800, suggesting that the impact of higher forecast revenue and lower earnings won't result in a meaningful change to the business' valuation.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that Lloyds Metals and Energy's revenue growth is expected to slow, with the forecast 40% annualised growth rate until the end of 2025 being well below the historical 65% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 9.2% per year. Even after the forecast slowdown in growth, it seems obvious that Lloyds Metals and Energy is also expected to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Lloyds Metals and Energy. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider 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.

With that in mind, we wouldn't be too quick to come to a conclusion on Lloyds Metals and Energy. Long-term earnings power is much more important than next year's profits. We have analyst estimates for Lloyds Metals and Energy going out as far as 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - Lloyds Metals and Energy has 1 warning sign we think you should be aware of.

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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.