Marico Kaya zooms 30% in four days after turnaround Q1 results

The company reported a consolidated net profit of Rs 15 crore in June quarter against loss of Rs 5.9 crore in the same quarter last year.

Marico Kaya Enterprises has soared 14% to Rs 348, extending its past three day’s rally on the National Stock Exchange (NSE), after reporting a consolidated net profit of Rs 15 crore for the first quarter ended June 30, 2014 (Q1). The company had loss of Rs 5.9 crore in the same quarter last fiscal.

In past four trading sessions, the stock rallied nearly 30% from Rs 270 on August 8, compared to 2.7% rise in benchmark CNX Nifty.

The trading volumes on the counter more than doubled with a combined 1.06 million shares changed hands till noon deals on NSE and BSE.

The company said it reported operating profit of Rs 8.2 crore during the quarter under review as against loss of Rs 2.9 crore in the corresponding quarter of previous year. Revenues from operations grew 17% to Rs 75 crore on year on year basis.

India business reported a net revenues same store growth (SSG) at 10% and international business at 16% respectively.

The company currently has over 86 clinics and 3 Kaya Skin Bars in India and operates over 18 clinics in Middle East, plans to add over 10 clinics and Skin Bars over two quarters.

Meanwhile, the board has constituted a committee, which would finalize and approve the Scheme of Arrangement between the Company and its wholly owned subsidiary, Kaya Limited, engage valuers for determining the share exchange ratio.