Talwalkars Better Value Fitness gains on good Q4 results

The stock was up 6.5% at Rs 208 on the NSE as compared to almost 1% decline in Nifty 50 index at 09:36 am.

Talwalkars Better Value Fitness has rallied 8% to Rs 211 on the National Stock Exchange (NSE) in an otherwise weak market after it reported 13% year on year (YoY) growth in consolidated net profit at Rs 20 crore for the quarter ended March 31, 2016 (Q4FY16). Total income from operations increased 17% at Rs 90 crore on YoY basis.

For the financial year 2015-16 (FY16), the company posted net profit of Rs 55 crore, a 19% growth over the previous fiscal. Operational income rose 13% at Rs 286 crore on YoY basis.

EBITDA (earnings before interest, taxes, depreciation and amortization) margin expanded to 52.5% in FY16 from 49.6% in FY15.

Robust income growth for the year increased EBIDTA margins, Talwalkars Better Value Fitness said.

The company earned Rs 6.8 crore from other operating income against Rs 90 lakh previous fiscal, on account of interest on treasury, it added.

The company said it plans to open on ownership basis 25-30 centers by Q3FY17 and 10 HiFi gyms are in pipeline and expected to open during FY17.

At 09:36 am, the stock was up 6.5% at Rs 208 on the NSE as compared to almost 1% decline in Nifty 50 index. The trading volumes on the counter surged an over five-fold with a combined 731,167 shares changed hands on the NSE and BSE so far.