Sundram Fasteners extended gains to jump 10 per cent to Rs 234 after surge of over 10 per cent in the previous session because of robust June quarter earnings. Sundram Fasteners share price has made a new 52 week high of Rs 245.35 in today’s trading session. The share price is currently trading at Rs 234.75, 5.72 per cent. The net profit of the Company nearly doubled to Rs 75.55 crores for the quarter ended 30th June, 2016 (Q1FY17), as a result of strong operational performance.
The TVS Group Company is engaged in auto parts and equipment business had profit of Rs 38.51 crores during the corresponding quarter of the previous year. The total revenue from operations during this quarter jumped up by 12.8 per cent to Rs 713 crore from Rs 631.94 crore in the corresponding quarter of previous year.
The EBITDA (earnings before interest, depreciation and taxes) margin also expanded around 465 basis points to 19.63 per cent from 14.98 per cent, due to volume growth, product mix and specific cost reduction initiatives.
The company was actively investing in other automotive component verticals, the company announced, continued prospect of sourcing of domestic auto components from United States augurs very good for overseas market.
The company declared that it is positive about the automotive sector with the monsoon as well as sentiment buoyancy improving prospects. "Sundram Fasteners is also actively investing in other automotive component verticals which will bolster the profitability of the company," the company said in a statement. "The continued prospect of sourcing of Indian automotive components from the USA also augurs well for the export market."
No comments:
Post a Comment