NCC surges 9% on strong Q3 results

The stock rallied 9% to Rs 130 on BSE after the company reported 72% year on year growth in net profit at Rs 1,004 million in Q3FY18.

NCC has rallied 9% to Rs 130 on BSE after the company reported 72% year on year (Y-o-Y) growth in net profit at Rs 1,004 million in December quarter (Q3FY18), on back of healthy operational performance. The construction & engineering company had profit of Rs 583 million during the same quarter last fiscal.

However, the operational revenue during the quarter declined 2.7% to Rs 18,507 million from Rs 19,037 million in the corresponding quarter of previous fiscal. EBITDA (earnings before interest, tax, depreciation and amortization) margin improved to 13.6% from 8.97%.

NCC said the company is planning to enhance business in its core sector. To meet the long term working capital requirements for the proposed increased business in the construction segment, the company has raised on equity of Rs 75.5 billion through qualified institutional placement (QIP) issue.

At 03:06 pm; the stock was trading 7% higher at Rs 127 on BSE, as compared to 0.15% decline in the S&P BSE Sensex. The trading volumes on the counter surged nearly three-fold with a combined 25.77 million shares changed hands on BSE and NSE so far.