Tamilnadu Newsprint jumps after Q1 net nearly doubles to Rs 52 cr

Q1 net profit surged 97% to Rs 51.6 crore compared with Rs 26.2 crore in Apr-Jun 2014

Shares of Tamilnadu Newsprint & Papers (TNPL) were up over 5% at Rs 209 after the company's net profit for the quarter ended June 30, 2015 nearly doubled to Rs 51.6 crore compared with Rs 26.2 crore, on the back of higher production and sales coupled with savings in manufacturing cost.

Net sales for the quarter under review was up 33% at Rs 639 crore compared with Rs 479 crore for the quarter ended June 30, 2014. Other operating income was also higher at Rs 8.6 crore compared with Rs 6.6 crore in the corresponding quarter last fiscal.

TNPL is setting up a 2 lakh MT capacity double coated multilayer board plant at a capital outlay of Rs 1,500 crore in Mundipatti Village, ManapariTalukTrichy District. The project is expected to be completed by December 2015, the company said in a release.

The stock opened at Rs 212 and touched a high of Rs 217. At 10:30AM, over 1 million shares were traded on both the stock exchanges.