Grasim Industries shares declined around 3% as the market opened on Thursday, even after the company reported a sharp turnaround in standalone net profit for the June quarter.
The stock is trading at Rs 3,234.6 apiece, against its previous close at Rs 3,307.8 on NSE around 9.23 am today. Meanwhile, Nifty 50 declined by 0.34%.
Investors will track the sustainability of the improvement in operating performance and profitability.
Company swings to Profit in Q1FY27
The company posted a net profit of Rs 247 crore, compared with a loss of Rs 118 crore in the year-ago period.
The company's standalone revenue increased 27.9% year-on-year to Rs 11,795 crore from Rs 9,223 crore in the corresponding quarter last year.
The strong revenue growth was accompanied by a sharp improvement in operating performance. Ebitda more than doubled to Rs 950 crore from Rs 385 crore a year ago.
Grasim's Ebitda margin stood at 8.1% during the quarter, compared with 4.2% in the year-ago period.
Also Read: Grasim Q1 Results: Profit Surges Over Twofold, Margin Expands
Stock Movement
Even though the stock declined today, but it has remained up over 5% during the past month and over 16% in this calendar year.
The stock is trading at a price-to-earnings multiple of 21.9 times, with a market cap of Rs 2,19,854.5 crore as at the end of the last trading session.
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