 "V-Guard Industries hits new high; surges over 40% in one month")
V-Guard Industries was trading higher by 6% to Rs 1,352 on the BSE on the back of heavy volumes. Till 12:09 AM, a combined 179,731 shares changed hands against an average sub 50,000 shares that were traded daily in past two weeks on the BSE and NSE.
The stock hit a lifetime high of Rs 1,372 in intra-day trade and rallied 45% in past one-month after the company reported more than doubled net profit of Rs 42 crore for the quarter ended March 2016 (Q4FY2016), driven by healthy revenue growth and strong margin expansion. It was trading at Rs 943 on May 2, 2016.
Total income from operations for the quarter grew 16% at Rs 513 crore against Rs 442 crore in the corresponding quarter of last fiscal. Earnings before interest, tax, depreciation and amortization (EBITDA) margin improved by 400 basis points at 12% in Q4FY16 against 8% in year ago quarter.
The revenue growth for the quarter was attributed to strong traction in some of the products like fans, pumps and water heaters. Favourable market conditions, lower commodity prices and better sales volume have led to significant margin improvement, V-Guard Industries said in a statement.
The management said the business outlook remains positive during the first half of the current fiscal (FY16-17). The company is planned to launch mixer grinders in Tamil Nadu and introduce a new product line, gas stoves, in the kitchen appliance category in the state of Kerala, during the quarter, it added.
The stock hit a lifetime high of Rs 1,372 in intra-day trade and rallied 45% in past one-month after the company reported more than doubled net profit of Rs 42 crore for the quarter ended March 2016 (Q4FY2016), driven by healthy revenue growth and strong margin expansion. It was trading at Rs 943 on May 2, 2016.
Total income from operations for the quarter grew 16% at Rs 513 crore against Rs 442 crore in the corresponding quarter of last fiscal. Earnings before interest, tax, depreciation and amortization (EBITDA) margin improved by 400 basis points at 12% in Q4FY16 against 8% in year ago quarter.
The revenue growth for the quarter was attributed to strong traction in some of the products like fans, pumps and water heaters. Favourable market conditions, lower commodity prices and better sales volume have led to significant margin improvement, V-Guard Industries said in a statement.
The management said the business outlook remains positive during the first half of the current fiscal (FY16-17). The company is planned to launch mixer grinders in Tamil Nadu and introduce a new product line, gas stoves, in the kitchen appliance category in the state of Kerala, during the quarter, it added.