Century Textiles got good backing from the institutions on Thursday. The scrip moved strong, rising 6.09 per cent to close at Rs 74 on the BSE.
In the late hours of trading before close, the scrip edged up 6.67 per cent to Rs 74.40 on BSE. The scrip registered a total volume of 22.75 lakh shares on the BSE.
Century Textiles has now risen 76.5 per cent from its recent low of Rs 42.15 on March 31, 2003. As per market talk, Prudential ICICI has been active on the counter.
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Analysts said the textile division of the company, comprising yarn, cloth, denim cloth, viscose filament yarn and tyre yarn is doing extremely well.
And so is the cement division. This is prompting accumulation in the stock . The textile division and the cement division account for 78 per cent of the sales of the company.
Expectations of good results for the quarter ending June 30, 2003, have also set off buying interest on the counter.
The profitability of the company improved significantly during 2002-03 largely on account of improvement in the textile segment, particularly in rayons.
Further, the paper and pulp division has had stable operations and has shown satisfactory growth.
But the cement division has had to contend with the fact that prices have been under severe pressure, resulting in lower profitability.