 "V-Guard Industries hits record high on strong Q2 results")
V-Guard Industries hits record high of Rs 199, up 7% on BSE in intra-day after it reported a robust 70% year on year (YoY) jump in net profit at Rs 39 crore for the quarter ended September 2016 (Q2FY17), on back of strong operational performance.
The company engaged in consumer electrical and electronics business had posted a profit of Rs 23 crore in the year ago quarter. Net revenue from operations grew 14% YoY to Rs 493 crore.
“Owing to better market conditions, products like electric water heaters, pumps, fan and digital UPS have done extremely well during the quarter under review,” V-Guard Industries said in a release.
“Reduction in cost of goods sold is due to reduced input cost and continued cost savings from supply chain initiatives,” it added.
EBITDA (earnings before interest, taxes, depreciation, and amortization) margin improved to 10.8% from 8.4% in previous year quarter.
On outlook Mithun Chittilappilly, managing director, V-Guard Industries said “The business outlook remains positive and the consumer confidence is high. We expect to perform reasonably well in the water heater segment considering upcoming season.”
Thus far in 2016, the stock has been more than doubled from Rs 95 at the beginning of year, against 7.7% rise in the S&P BSE Sensex.
The company engaged in consumer electrical and electronics business had posted a profit of Rs 23 crore in the year ago quarter. Net revenue from operations grew 14% YoY to Rs 493 crore.
“Owing to better market conditions, products like electric water heaters, pumps, fan and digital UPS have done extremely well during the quarter under review,” V-Guard Industries said in a release.
“Reduction in cost of goods sold is due to reduced input cost and continued cost savings from supply chain initiatives,” it added.
EBITDA (earnings before interest, taxes, depreciation, and amortization) margin improved to 10.8% from 8.4% in previous year quarter.
On outlook Mithun Chittilappilly, managing director, V-Guard Industries said “The business outlook remains positive and the consumer confidence is high. We expect to perform reasonably well in the water heater segment considering upcoming season.”
Thus far in 2016, the stock has been more than doubled from Rs 95 at the beginning of year, against 7.7% rise in the S&P BSE Sensex.