Balkrishna Industries surges on strong Q2 results

 

Logo of Balkrishna

Logo of Balkrishna

 

  Balkrishna Industries shares surged 12% to Rs 1,110 on the BSE in early morning trade after the company more than doubled its net profit at Rs 243 crore for the quarter ended September 30, 2016 (Q2FY17). It had a profit of Rs 106 crore in the same period last year.

Total sales revenue grew 15% year on year (YoY) at Rs 947 crore during the quarter under review against Rs 822 crore in the corresponding quarter of previous fiscal.

EBITDA (earnings before interest, tax, depreciation and amortization) margin expanded 130 basis points to 32.5% compared to 31.2% last year.

The other income of the company increased two-fold to Rs 45 crore from Rs 20 crore, while it reported net forex gain of Rs 59 crore against loss of Rs 26 crore in previous year quarter.

Auto tyres & rubber products maker has guided volume at 160,000 MT – 170,000 MT for FY17. It posted volume growth of 16% YoY to 85,855 MT in first half (April to September) of FY17.

The board declared second interim dividend of Rs 2 per equity share (100%) on the equity shares of Rs 2 each (face value) for the financial year 2016-2017.

At 09:48 am; the stock was up 11% at Rs 1,103 on the BSE. A combined 163,396 shares changed hands on the counter on the BSE and NSE so far.