Tata Metaliks slipped as much as 7 per cent intra-day on the BSE to hit an over two-month low of Rs 541 per share on Tuesday after its net profit tanked over 35 per cent year-on-year (YoY) in the April to June quarter of financial year 2019-20 (Q1FY20). The stock was trading at its lowest level since March 2017.
The Tata Steel subsidiary clocked a profit of Rs 19.62 crore, down 35.4 per cent, for the recently concluded quarter, as against a profit of Rs 30.39 crore in the same quarter last year. Profit declined on the back of a nearly 10 per cent rise in the cost of raw material, the company's financials showed.
The total income, however, was higher at Rs 503.43 crore as compared to Rs 469.02 crore in April-June 2018. Similarly, revenue from operations rose 6.73 per cent to Rs 499.03 crore during Q1FY20 as against Rs 467.54 crore clocked in the corresponding period of 2018-19.
At 11:40 am, the stock was trading at Rs 556 apiece, down 4.32 per cent, against a 0.35 per cent rise in the benchmark S&P BSE Sensex. So far in 2019, the stock has slipped 6.35 per cent against a 3 per cent rise in the S&P BSE 500 index.