Cera Sanitaryware is locked at the upper circuit of 20% at Rs 1,154, also its new high on the NSE, on the back of heavy volumes. At 1230 hours, a combined 203,000 shares already changed hands on the counter as against an average sub-40,000 shares that were traded daily in the past two weeks on the NSE and BSE.
The stock has rallied 35% in the past five trading sessions from Rs 848 on April 23, after reporting a strong set of numbers for the fourth quarter ended March 31, 2014 (Q4FY14). The benchmark CNX Nifty has declined 2% during the same period.
The company has reported 38% year-on-year (yoy) jump in net profit to Rs 19 crore for Q4, on the back of higher operational income. Its net sales surged by 38% yoy to Rs 218 crore.
On the operating front, the EBITDA grew by a whopping 69% yoy to Rs 35 crore and margins expanded by 297 basis points (bp) yoy to 16.1%. The growth in margins was mainly due to a decline in raw material costs as a percentage of sales by 271bp yoy.
Cera, due to its consistent marketing efforts, has gained significant brand visibility in the market. In addition, its sanitaryware products are priced competitively compared to its peers, providing it an edge, and thereby enabling it to generate more volumes, says analyst at Angel Broking in a note.
The stock has rallied 35% in the past five trading sessions from Rs 848 on April 23, after reporting a strong set of numbers for the fourth quarter ended March 31, 2014 (Q4FY14). The benchmark CNX Nifty has declined 2% during the same period.
The company has reported 38% year-on-year (yoy) jump in net profit to Rs 19 crore for Q4, on the back of higher operational income. Its net sales surged by 38% yoy to Rs 218 crore.
On the operating front, the EBITDA grew by a whopping 69% yoy to Rs 35 crore and margins expanded by 297 basis points (bp) yoy to 16.1%. The growth in margins was mainly due to a decline in raw material costs as a percentage of sales by 271bp yoy.
Cera, due to its consistent marketing efforts, has gained significant brand visibility in the market. In addition, its sanitaryware products are priced competitively compared to its peers, providing it an edge, and thereby enabling it to generate more volumes, says analyst at Angel Broking in a note.