Oudh Sugar surges on strong Q3 results
The stock surged 12% to Rs 169, also its 52-week high on the BSE
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Oudh Sugar Mills surged 12% to Rs 169, also its 52-week high on the BSE, after the company reported more than two-fold jump in net profit at Rs 34.73 crore for the quarter ended December 2016 (Q3FY17), on back of strong operational performance. The company had profit of Rs 12.61 crore in the same quarter last year.
Total turnover during the quarter under review increased 16.8% at Rs 389 crore against Rs 333 crore in the corresponding quarter of previous fiscal.
EBITDA (earnings before interest, tax, depreciation and amortization) margin improved to 27.1% in Q3FY17 from 12.2% in Q3FY16.
For the first nine months (April to December) of FY17, the company posted profit of Rs 73 crore against net loss of Rs 68 crore in the same period last fiscal.
“Globally the sugar season 2016-17 has witnessed a fall in sugar production after continuous 5 years of surplus production, thereby correcting the imbalance in the demand and supply position,” said C S Nopany, chairman, The Oudh Sugar Mills.
In India, production is likely to be significantly lower due to lower output in Maharashtra and Karnataka. As a result sugar prices firmed up both domestically and internationally to reasonable levels and it is expected to remain steady in the subsequent quarters, added C S Nopany.
At 10:29 am; the stock was up 11% at Rs 167 on the BSE as compared to 0.16% decline in the S&P BSE Sensex. The trading volumes on the counter more than doubled with a combined 2.19 million shares changed hands on the BSE and NSE so far.
Total turnover during the quarter under review increased 16.8% at Rs 389 crore against Rs 333 crore in the corresponding quarter of previous fiscal.
EBITDA (earnings before interest, tax, depreciation and amortization) margin improved to 27.1% in Q3FY17 from 12.2% in Q3FY16.
For the first nine months (April to December) of FY17, the company posted profit of Rs 73 crore against net loss of Rs 68 crore in the same period last fiscal.
“Globally the sugar season 2016-17 has witnessed a fall in sugar production after continuous 5 years of surplus production, thereby correcting the imbalance in the demand and supply position,” said C S Nopany, chairman, The Oudh Sugar Mills.
In India, production is likely to be significantly lower due to lower output in Maharashtra and Karnataka. As a result sugar prices firmed up both domestically and internationally to reasonable levels and it is expected to remain steady in the subsequent quarters, added C S Nopany.
At 10:29 am; the stock was up 11% at Rs 167 on the BSE as compared to 0.16% decline in the S&P BSE Sensex. The trading volumes on the counter more than doubled with a combined 2.19 million shares changed hands on the BSE and NSE so far.