Shares of Saregama India Ltd. witnessed intraday pressure on Tuesday despite reporting a strong set of June-quarter earnings, as investors booked profits after the stock's stellar rally over the past few months.
The stock slipped to an intraday low of Rs 493.70, before rebounding to trade around Rs 518, marginally higher than its previous close. Earlier in the session, it had climbed to a fresh 52-week high of Rs 531.90. Even after Tuesday's volatility, the stock has surged over 50% in the last three months and nearly 58% over the past six months, making it one of the stronger performers in the small-cap media space.
The company reported a robust operational performance for the June quarter. Consolidated revenue rose 27.5% year-on-year to Rs 264 crore from Rs 207 crore, while EBITDA jumped 68.8% to Rs 93.3 crore from Rs 55.3 crore.
Operating profitability improved sharply, with EBITDA margin expanding to 35.4% from 26.7% a year ago, reflecting stronger operating leverage.
Net profit increased 40.6% year-on-year to Rs 51.6 crore, compared with Rs 36.7 crore in the corresponding quarter last year.
Despite the healthy earnings, the muted reaction suggests investors may have chosen to lock in gains following the stock's strong run-up.
ALSO READ: Saregama Q1 Result: Net Profit Up 40% YoY, Revenue Surges 27% To Rs 264 Crore
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