Bajaj Electricals Ltd. shares rose as much as 16% after the company reported a rise in first-quarter profit and an expansion in operating margins.
The stock climbed as much as 16% to Rs 430. The company reported a consolidated net profit of Rs 48.8 crore for the June quarter, compared with Rs 0.9 crore a year earlier. Revenue rose 2.3% to Rs 1,089 crore, while the Ebitda margin expanded to 7.1% from 3.1%.
Bajaj Electricals (Q1, Consolidated YoY)
- Net profit at Rs 48.8 crore versus Rs 0.9 crore.
- Revenue up 2.3% at Rs 1,089 crore versus Rs 1,065 crore.
- EBITDA at Rs 77.1 crore versus Rs 33.3 crore.
- EBITDA margin at 7.1% versus 3.1%.
ALSO READ: Bajaj Electricals Q1 Results: Profit Swells 54x, Margin Expands
The earnings improvement came as the Consumer Products business returned to operating profit. Segment revenue rose 1.7% to Rs 820 crore, while EBIT stood at Rs 32 crore compared with a loss of Rs 14 crore a year earlier.
Lighting Solutions revenue increased 4.4% to Rs 269 crore, although EBIT declined to Rs 18 crore from Rs 27 crore.
Among the 17 analysts tracking Bajaj Electricals, seven have a 'buy' rating, six recommend 'hold' and four have a 'sell' rating, according to Bloomberg data.
The Bloomberg analyst consensus target price stands at Rs 392, implying a potential downside of about 3% from the last regular trade.
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