JBM Auto Shares Gain 10% After Strong Q3 Earnings

JBM Auto Ltd. share price surged over 10% in early trade on Thursday after strong third quarter earnings.

Consolidated net profit of the electric bus maker jumped 8.2% year-on-year to Rs 52.6 crore in the October-December period. Revenue from operations rose 3.7% to Rs 1,396 crore.

On the operating side, earnings before interest, tax, depreciation and amortisation grew 11.8% to Rs 175 crore. Margin expanded to 12.5% compared to 11.6% in the year-ago period.

The board recommended the division of existing fully-paid up equity share having face value of Rs 2 into equity share having face value of Rs 1. This 1:1 stock split has been approved by the shareholders of JBM Auto.

The company said strong order book in OEM and tool room division will contribute in accelerating the growth this financial year.

Segment-wise, revenue from component division rose from Rs 725 crore to Rs 785 crore. Income from tool room division rose to Rs 82 crore from Rs 76 crore while OEM division increased to Rs 529 crore from Rs 545 crore.

JBM Auto share price advanced 10.3% intraday to Rs 1,544 apiece. The scrip was trading 8.7% higher by 10:55 a.m. The benchmark NSE Nifty 50 was up 0.37%.

The stock has fallen 19 % in the last 12 months. The total traded volume so far in the day stood at 8.4 times its 30-day average. The relative strength index was at 51.