A broker laughs while speaking to a colleague, as they trade on their computer terminals at a stock brokerage firm in Mumbai
Balkrishna Industries hit a record high of Rs 920, up 3% on the BSE in an otherwise weak market after reporting 47% year-on-year (YoY) growth in net profit at Rs 149 crore for the quarter ended June 30, 2016 (Q1FY17), on back of strong volume growth. The company engaged in tyres business had profit of Rs 102 crore in a year ago quarter.
The company said it achieved sales of 41,456 MT (+11% YoY) in the reporting quarter. It has given volume guidance at 160,000 MT- 170,000 MT for the financial year 2016-17 (FY17).
The EBITDA (earnings before interest, taxes, depreciation and amortization) margin expanded to 28% in Q1FY17 from 12.8% in Q1FY16, due to lower raw material and other expenses.
After an initial spurt in raw material prices in April & May, rubber prices have stabilized, it added.
Total sales revenue during the quarter under review grew 8.4% at Rs 928 crore on YoY basis.
At 09:43 am, the stock was up 2.4% at Rs 915 on the BSE, as compared to 1.4% or 403 points decline in the S&P BSE Sensex. A combined 84,619 shares changed hands on the counter on the BSE and NSE so far.