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Blue Star jumps 5.7% in 2 days after strong Q1 earnings

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Capital Market
Last Updated : Aug 01 2013 | 8:05 AM IST

Blue Star rose 3.64% to Rs 196.50 at 11:55 IST on BSE, with the stock extending Tuesday's 2.01% gains triggered by the company reporting strong Q1 earnings.

Meanwhile, the BSE Sensex was down 32.45 points or 0.19% to 17,203.73.

On BSE, 15,810 shares were traded in the counter as against average daily volume of 84,211 shares in the past one quarter.

The stock hit a high of Rs 197.05 and a low of Rs 190.70 so far during the day.

The stock had outperformed the market over the past one month till 31 July 2012, surging 15.57% compared with the Sensex's 1.11% fall. The scrip had also outperformed the market in past one quarter, rising 2.05% as against Sensex's 0.48% fall.

Shares of Blue Star have risen 5.73% in two trading sessions from Rs 185.85 on 30 July 2012, after the company during trading hours on Tuesday, 31 July 2012 announced strong Q1 results. The stock had risen 2.01% to settle at Rs 189.60 on Tuesday, 31 July 2012.

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Blue Star's net profit jumped 109.8% to Rs 20.54 crore on 3.5% growth in net sales to Rs 723.18 crore in Q1 June 2012 over Q1 June 2011.

Blue Star said its carry forward order book reduced to Rs 1848 crore as on 30 June 2012, from Rs 2019 crore as at 30 June 2011, due to slower new order bookings as well as a concerted effort to improve the quality of new orders won.

In its outlook, Blue Star said that the corrective steps taken by the company in the previous year including price increases, value engineering and cost control have begun to show results with the company showing significant profit improvement in Q1 June 2012. The company hopes to sustain the turnaround for the rest of the year (FY 2013) in spite of the continuing economic slowdown, high inflation and weak rupee, Blue Star said in a statement.

Blue Star's major products includes packaged air-conditioning, industrial packaged chillers, shell and tube condensers and coolers, air handling units, finned condensers and evaporators.

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First Published: Aug 01 2012 | 11:57 AM IST

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