Wheels India shares zoom 19% on healthy Q4 results; up 23% in 5 sessions

Wheels India shares rise: Shares of Wheels India zoomed as much as 18.93 per cent to hit an intraday high of Rs 700 per share on Tuesday. 

The uptick came after the company posted a strong set of Q4 numbers. Wheels India’s net profit soared 79 per cent on a year-on-year (Y-o-Y) basis to Rs 38.3 crore, as opposed to Rs 21.4 crore in the same quarter a year ago (Q4FY23).

The company’s topline grew 1.6 per cent annually to Rs 1,271.5 crore, against Rs 1,250.9 crore in the same quarter previous fiscal. 

Wheels India's earnings before interest, taxes, depreciation and amortisation (Ebitda) surged 40.1 per cent to Rs 97.4 crore in Q4FY24 as opposed to Rs 69.5 crore in Q4Fy23. Ebitda margin, meanwhile, expanded 210 basis points (bps) to 7.7 per cent in the fourth quarter of financial year 2024, from 5.6 per cent in the fourth quarter of financial year 2023.

The Board of the Company has recommended a dividend of Rs.7.39 per share. 

Srivats Ram, MD, Wheels India Ltd, said, “Exports did well for us in FY24 registering a 24.5 per cent growth. Earthmover wheels, aluminium wheels and hydraulic cylinders were the prime drivers of growth on the export front. The company’s air suspension business did well along with growth in the bus market” 

Meanwhile, on the FY25 outlook, he said, “We are cautiously optimistic about the prospects for FY25. New programmes with global customers are likely to begin in Q4 of this year.” 

Wheels India is a manufacturer of wheels for trucks, agricultural tractors, passenger vehicles and construction equipment; air suspension systems for trucks and buses, and industrial components for the construction and windmill industry with manufacturing plants in Tamil Nadu, Maharashtra, Uttar Pradesh and Uttarakhand.

The market capitalisation of the company is Rs 1,681.48 crore, according to Bombay Stock Exchange (BSE).

The 52-week high of the stock is Rs 853.95 while its 52-week low is Rs 548.50 per share. 

At 11:15 AM, shares of Wheels India were trading 16.40 per cent higher at 685.05 apiece. By comparison, S&P BSE Sensex was trading 0.11 per cent lower at 73,925.17 levels.