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Steel Strip Wheels hits record high on heavy volumes

 

Steel Strips Wheels bags $ 55 mn order from US-based Elio Motors

  Steel Strips Wheels Limited (SSWL) has rallied 15% to Rs 582, also its record high on the National Stock Exchange (NSE) in intra-day trade, on the back of heavy volumes.

The company engaged in auto ancillary business on August 12, revised its July-September (Q2FY17) consolidated sales volume guidance upwards to 3.98 million wheels from 3.80 million wheels.

The sales increase is being driven by ramp up of passenger car volumes and a better outlook for the commercial vehicles segment wheels, SSWL said in a statement.

The company posted its highest ever monthly sales volume in the month of July 2016 which was 1.26 million wheels. It expects to beats this number handsomely in each of the remaining 2 months of the current quarter, it added.

For the first quarter ended June, 2016, SSWL had posted 53% year on year jump in net profit at Rs 18.60 crore, on back of 11% rise in net sales of Rs 325 crore, over the previous year quarter.

At 11:52 am, the stock was up 12% at Rs 567, as compared to 0.52% decline in the Nifty 50. The trading volumes on the counter surged more than five-fold with a combined 378,404 shares changed hands on the NSE and BSE so far. On an average sub 50,000 shares were traded daily in past two weeks on both the exchanges.