Kitex Garments hits 52-week low post Q3 results

Post Q3 results, the stock hit a 52-week low of Rs 451, falling nearly 23% from its intra-day high of Rs 584 on the NSE.

Shares of Kitex Garments has plunged 17% to Rs 451, also its 52-week low on the National Stock Exchange (NSE), after the company reported a single digit 4% year-on-year (YoY) growth in net profit at Rs 24 crore for the third quarter ended December 2015 (Q3), due to lower sales.

The stock tanked nearly 23% from its intra-day high of Rs 584 on the NSE touched in early morning trade.

The company engaged in textiles business had profit of Rs 23 crore in the same quarter year ago and Rs 27 crore in September 2015 quarter.

Total income from operations declined 3.3% at Rs 118  crore during the quarter against Rs 114 crore in the corresponding quarter of previous fiscal. Raw material cost however down 9% at Rs 47 crore on YoY basis.

The company’s earnings before interest, tax, depreciation and amortization (EBITDA) margin stood at 35.27% expanded by 94 basis points (bps) YoY and 166 bps on sequential basis.

At 01:58 p.m. the stock was down 10% at Rs 488 on the NSE. A combined 766,677 shares changed hands on the counter against an average 100,000 shares that were traded daily in past two weeks on the NSE and BSE.