Blue Star lost 1.91% to Rs 563 at 12:51 IST on BSE, with the stock sliding on profit booking after the company announced foraying into residential water purifiers business with a stylish and differentiated range.
The announcement was made during market hours today, 4 October 2016.Meanwhile, the S&P BSE Sensex was up 52.31 points or 0.19% at 28,295.60.
On BSE, so far 4,865 shares were traded in the counter as against average daily volume of 14,204 shares in the past one quarter. The stock hit a high of Rs 580 so far during the day, which is a record for the counter. The stock hit a low of Rs 561 so far during the day. The stock had hit a 52-week low of Rs 306.10 on 11 February 2016. The stock had outperformed the market over the past one month till 3 October 2016, gaining 15.14% compared with 1.01% fall in the Sensex. The scrip had also outperformed the market in past one quarter, advancing 31.47% as against Sensex's 4.05% rise.
The mid-cap company has equity capital of Rs 19.08 crore. Face value per share is Rs 2.
Shares of Blue Star had risen 5.24% in the preceding two trading sessions to settle at Rs 573.95 yesterday, 3 October 2016, from its close of Rs 545.35 on 29 September 2016.
Blue Star announced its entry into the residential water purifier business with the launch of a range of stylish, differentiated and premium products. The company will initially offer residential water purifiers, and will gradually enhance its range to cover commercial water purification systems as well. This initiative is part of the company's aggressive growth plans to expand its presence in related new product categories.
In terms of advertising and brand communication, the company has plans to invest about Rs 25 crore in the current financial year (FY 2017) on water purifiers, with a TV commercial supported by hoardings and activations as well as digital, especially in social media.
On a consolidated basis, Blue Star's net profit fell 29% to Rs 51.39 crore on 19.5% growth in net sales to Rs 1205.08 crore in Q1 June 2016 over Q1 June 2015.
Blue Star is India's leading central airconditioning company. The company fulfils the airconditioning needs of a large number of corporate, commercial and residential customers and has also established leadership in the field of commercial refrigeration.
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