Share price of Mazagon Dock Shipbuilders Ltd. spiked as much as 7.40% to Rs 4,325 apiece after the PSU reported a 76% uptick in net profit, beating estimates.
The board of directors also declared an interim dividend of Rs 23.19 per share.
The defence company reported a net profit of Rs 585 crore for the quarter ending September, according to an exchange filing on Tuesday.
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This exceeded the Bloomberg consensus estimate of Rs 489 crore. Revenue for the quarter rose 51% to Rs 2,757 crore, surpassing analyst expectations of Rs 2,148 crore. Total operating expenses as a percentage of revenue dropped to 81.5% in the quarter, compared to 90.3% in the same period last year.
Mazagon Dock Q2 FY25 Result Highlights (Consolidated, YoY)
Revenue up 51% at Rs 2,757 crore (Bloomberg estimate: Rs 2,148 crore).
Ebitda up 189% at Rs 511 crore (Bloomberg estimate: Rs 364 crore).
Margin expanded to 18.5% versus 9.7% (Bloomberg estimate: 16.90%).
Net profit up 76% at Rs 585 crore (Bloomberg estimate: Rs 489 crore).
Mazagon Dock Share Price Today
Mazagon Dock stock rose as much as 7.40% before paring gains to trade 5.09% higher at Rs 4,232 apiece, compared to an 0.79% advance in the benchmark Nifty 50 as of 2:23 p.m.
It has risen 118.34% in the last 12 months and 85.5% on a year-to-date basis. Total traded volume so far in the day stood at 1.7 times its 30-day average. The relative strength index was at 51.03.
Two out of four analysts tracking the PSU have a 'buy' rating on the stock, one recommends a 'hold' and one suggests a 'sell', according to Bloomberg data. The average of 12-month analysts' price targets implies a potential downside of 22%.
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