Renaissance Jewellery zooms 20% on robust Q2 results

The stock locked in upper circuit of 20% at Rs 275 on the BSE after the company reported more than doubled net profit at Rs 16.9 crore in Q2FY18

Renaissance Jewellery was locked in upper circuit of 20% at Rs 275 on the BSE after the company reported more than doubled net profit at Rs 16.9 crore in September quarter (Q2FY18). It had profit of Rs 7.4 crore in the same quarter year ago.

Revenue of the company grew 34% at Rs 384 crore against Rs 286 crore in the corresponding quarter of previous fiscal. Ebitda (earnings before interest, taxes, depreciation and amortization) margin improved to 6.94% from 5.6% in previous year quarter.

For the first half (April to September) of the current financial year 2017-18 (FY18), the company has reported 95% year on year (YoY) growth in net profit at Rs 25.8 crore. Revenue grew 36% at Rs 760 crore on YoY basis.

For the entire FY18, the management expected the consolidated net profit to increase by 40%-50% over the previous year. The consolidated sales is expected to grow by about 18% to 22% compared to the sales of FY17, Renaissance Jewellery said in a statement.

The trading volumes on the counter jumped nearly three-fold with a combined 293,584 shares changed hands on the NSE and BSE. At 10:46 AM; there were pending buy orders for 121,153 shares on both the exchanges.