Symphony shares hit 20% upper circuit on strong Q1 results, buyback plan

Symphony stock hits record high: Electronics company Symphony shares were locked in the 20 per cent upper circuit at Rs 1.474.90 -- also its record high -- on Tuesday, August 6, 2024.

The stock of the household appliances company has surpassed its previous 52-week high of Rs 1,289.40, touched on June 14, 2024. It had hit a record high of Rs 2,212.75 on January 11, 2018. 

The uptick in the stock price came after the company posted a strong set of numbers in the June quarter. The board also announced a dividend and share buyback, which further fuelled the stock rally.

The company’s net profit jumped nearly four-fold to Rs 88 crore in the June quarter of FY25, from Rs 24 crore in the June quarter of FY24. 

The revenue from operations, or topline, zoomed 76 per cent year-on-year to Rs 531 crore in The June quarter of FY25, from Rs 302 crore in the June quarter of FY24. 

Symphony’s earnings before interest, tax, depreciation and amortisation skyrocketed to Rs 111 crore in Q1FY25, from Rs 26 crore in Q1FY24. 

Consequently, the company’s Ebitda margin climbed to 20.9 per cent in the June quarter of FY25, from 8.6 per cent in the June quarter of FY24. 

The company has declared its first Interim dividend of Rs 1 per share, having a face value of Rs 2 each for the financial year 2024‐25. 

The board of the company also approved a share buyback for up to Rs 71.4 crore at Rs 2,500 per share. 

In an exchange filing, the company said, "The Board has approved the proposal for buyback of up to 2,85,600 fully paid-up equity shares by the company, representing up to 0.41 per cent of the total number of outstanding equity shares, at a price of Rs 2,500 per equity share for an amount not exceeding Rs  71.4 crore".

Notably, the buyback price of Rs 2,500 per share is 103.4 per cent higher than previous close of Rs 1,229.10 per share. 

Set up in 1988, Symphony Limited is an electronics firm, focused on air cooler manufacturing. Headquartered in Ahmedabad, the company is publicly traded and operates in approximately 60 countries.

At 2:10 PM, shares of Symphony continued to remain locked in the 20 per cent upper circuit. In comparison, BSE Sensex was trading 0.05 per cent higher at 78,800.02 levels.