Escorts gains on robust Q1 performance

Reported over three-fold increase in its net profit for the quarter ended December 31, 2012, at Rs 28 crore against Rs 9 crore in a year ago quarter.

Escorts Limited is trading higher by 4.4% to Rs 69.80 after its net profit more than tripled to Rs 28.13 crore for the first quarter ended December 31, 2012 (Q1) due to lower raw material cost. The commercial vehicles maker had made a profit of Rs 9.07 crore in the year ago quarter.

 

“The company’s total income from operations grew marginally to Rs 1,028 crore from Rs 1,026 crore during the quarter under reviewed, while total expenditure fell by around 2% to Rs 988 crore on year-on-year (yoy) basis,” Escorts said in a statement.

 

Earnings before interest depreciation taxes and amortization (EBIDTA) increased by 74% yoy to Rs 53 crore and EBIDTA margin expanded by 218 basis points to 5.15%, it added.

 

The stock opened at Rs 68 and hit high of Rs 72 on NSE. As many as a combined around 2 million shares have already changed hands on the counter so far against an average sub 0.50 million shares that were traded daily in past two weeks.