GE T&D close to a turnaround

Operating profit margin expansion, driven by better execution, a major positive

The stock of GE T&D (formerly Alstom T&D) was locked in the upper circuit since the start of Wednesday’s trade, reacting to good June quarter results. With a gain of about 20 per cent, this is easily the best day the stock has enjoyed in recent times. 

Revenue at Rs 1,306 crore grew 40 per cent year-on-year, while net profit was Rs 61.7 crore, as against a loss of Rs 197 crore a year before. While the company got back to a net profit zone two quarters earlier, this is the first one where earnings growth was led by strong execution.