 "Plastic drums; Image courtesy: Time Technoplast")
Nilkamal has rallied 12% to Rs 1,092 on the BSE after the company reported a strong 276% year on year (YoY) growth in net profit at Rs 25.74 crore for the quarter ended September 30, 2015 (Q2), due to lower raw material cost.
The plastic products maker had profit of Rs 6.84 crore in the same quarter year ago.
Net income of the company during the quarter grew 5% at Rs 482 crore on YoY basis. The raw material cost declined by 16% to Rs 156 crore over the previous year quarter.
The raw material prices had remained range bound as anticipated by the company, and showed a downward trend in line with the crude prices, the company said.
Operating or EBITDA (earnings before interest, tax, depreciation and amortization) margin expanded 436 basis points from 6.87% to 11.23%.
The company believes that the challenged market outlook does curtail near-term growth, but long term outlook for the business remains promising.
The stock hit a high of Rs 1,105 and has seen a combined 593,467 million shares changed hands on the counter on the NSE and BSE.
The plastic products maker had profit of Rs 6.84 crore in the same quarter year ago.
Net income of the company during the quarter grew 5% at Rs 482 crore on YoY basis. The raw material cost declined by 16% to Rs 156 crore over the previous year quarter.
The raw material prices had remained range bound as anticipated by the company, and showed a downward trend in line with the crude prices, the company said.
Operating or EBITDA (earnings before interest, tax, depreciation and amortization) margin expanded 436 basis points from 6.87% to 11.23%.
The company believes that the challenged market outlook does curtail near-term growth, but long term outlook for the business remains promising.
The stock hit a high of Rs 1,105 and has seen a combined 593,467 million shares changed hands on the counter on the NSE and BSE.
