ITD Cementation India fell 10.12% to Rs 54.15, extending its recent losing streak.
Shares of ITD Cementation India plunged 24.26% in seven trading sessions to its current market price of Rs 54.15, from a recent closing high of Rs 71.50 on 13 September 2019.On 6 September 2019, ITD Cementation India informed the bourses about an incident that occurred in the ongoing underground construction of East-West Metro Corridor of Kolkata Metro Rail Corporation which is undertaken by ITD - ITD Cem Joint Venture (JV) of which the company is a JV partner.
The Tunnel Boring Machine (TBM) which is carrying out underground tunnelling hit a pocket of a sand aquifer (shallow ground water reserve) resulting in ingress of water mixed with soil mix and has entered the tunnel due to which TBM operation stopped temporarily. Further the water pressure and the flow pattern resulted in development of some cracks in some buildings in this vicinity.
The company said it initiated necessary action to assess the situation and shall keep the exchanges informed in the matter as and when the operation is restored.
Meanwhile, the S&P BSE Sensex rose 7 points or 0.02% to 39,097.14. The market surged in the past two sessions after the Finance Minister Nirmala Sitharaman on Friday, 20 September 2019, slashed corporate tax rate to 22% without exemptions. The effective corporate tax rate after surcharge now stands at 25.17%. The step has significant positive implications for corporates' profitability, broader economy and market valuations.
As on 31 March 2019, ITD Cementation India paid corporate tax of 39.06%.
On the BSE, 3.75 lakh shares were traded in the counter so far compared with average daily volumes of 52,829 shares in the past two weeks. The stock hit an intraday high of Rs 60.50. It hit an intraday low of Rs 48.20, which is also a 52-week low for the counter. The stock hit a 52-week high of Rs 143.40 on 12 March 2019.
ITD Cementation India's consolidated net profit fell 41.8% to Rs 16.67 crore on a 7.9% increase in net sales to Rs 704.64 crore in Q1 June 2019 compared with Q1 June 2018.
ITD Cementation India is involved in construction and civil engineering. The EPC firm is engaged in construction of a range of structures, which include maritime structures, mass rapid transport systems (MRTS), airports and other foundations.
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