Garden Reach Shipbuilders Stock Rises After Q3 Profit, Margin Growth
Garden Reach posted a net profit of Rs 98.2 crore for the quarter ended December, up from Rs 88.3 crore in the same period last year.
Garden Reach Shipbuilders & Engineers Ltd. saw its stock rise nearly 4%, following the release of its third-quarter earnings report. The shipbuilding company reported an 11% year-on-year increase in net profit for the quarter, although it fell short of analysts' expectations.
Garden Reach posted a net profit of Rs 98.2 crore for the quarter ended December, up from Rs 88.3 crore in the same period last year. This result was below the Rs 115-crore consensus estimate by analysts tracked by Bloomberg.
Revenue for the quarter increased by 38% year-on-year to Rs 1,271 crore, compared to Rs 923 crore in the previous fiscal. However, this was slightly below the analysts' projection of Rs 1,324 crore.
Operating income, or earnings before interest, taxes, depreciation, and amortisation, rose by 55% year-on-year to Rs 75.3 crore. The Ebitda margin expanded to 5.9% from 5.3% in the same period last year. Analyst estimates for Ebitda and Ebitda margin were Rs 82 crore and 6%, respectively
Garden Reach Share Price Today
The scrip rose as much as 3.96% to Rs 1,567.70 apiece. It pared gains to trade 1.54% higher at Rs 1,531.15 apiece, as of 09:51 a.m. This compares to a 0.88% advance in the NSE Nifty 50.
It has risen 74.38% in the last 12 months. Total traded volume so far in the day stood at 2.9 times its 30-day average. The relative strength index was at 48.
Out of four analysts tracking the company, three maintain a 'buy' rating and one suggests 'sell', according to Bloomberg data. The average 12-month analysts' consensus price target implies a downside of 0.8%.
