Motherson Sumi Q3 Profit Beats Estimates, Drives Shares Over 5%
The company's consolidated net profit rose 58.1% year-on-year to Rs 167.9 crore in the quarter ended December, beating Bloomberg's estimates of Rs 155.9 crore.
Shares of Motherson Sumi Wiring Ltd. jumped over 5% on Thursday after its third-quarter profit beat analysts' estimates.
The company's consolidated net profit rose 58.1% year-on-year to Rs 167.9 crore in the quarter ended December, according to an exchange filing. A Bloomberg poll of analysts' estimates pegged the net profit at Rs 155.9 crore.
Motherson Sumi Wiring Q3 Earnings FY24 (Consolidated, YoY)
Revenue up 25.5% at Rs 2,117.3 crore. (Bloomberg estimate: Rs 2,104.6 crore)
Ebitda up 46.4% at Rs 262 crore. (Bloomberg estimate: Rs 248.1 crore)
Margin up 176 bps at 12.4%. (Bloomberg estimate 11.8%)
Net profit up 58.1% at Rs 167.9 crore. (Bloomberg estimate: Rs 155.9 crore).
“These strong quarterly numbers are the result of customer trust and our operational efficiencies,” Vivek Chaand Sehgal, chairman at Motherson Sumi, said in a statement. “We remain focused on delivering high-quality products and solutions to our customers and supporting them in their plans. We’ll continue to invest in capacities to meet future demand.”
Shares of the company rose as much as 5.38% to Rs 68.55 piece, the highest level since Nov. 16, 2022. It pared gains to trade 3.9% higher at Rs 68.55 apiece as of 10:02 a.m. This compares to a 0.08% decline in the NSE Nifty 50 Index.
The stock has risen 31.26% in the past 12 months. Total traded volume so far in the day stood at 7.3 times its 30-day average. The relative strength index was at 70.37, indicating that the stock may be overbought.
Out of 15 analysts tracking the company, 13 maintain a 'buy' rating, one recommend a 'hold,' and one suggests a 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 8.9%.
