GM Breweries Share Price Tumbles As Net Profit Declines In September Quarter
GM Breweries share price fell nearly 5% as its net profit declined during July–September.
GM Breweries Ltd.'s share price tumbled on Thursday after the company reported a decline in its consolidated net profit for the July–September quarter. Its consolidated net profit fell 3.1% year-on-year to Rs 21.7 crore in the second quarter from Rs 22.4 crore.
GM Breweries' profit margin fell 110 basis points to 18.5% in the second quarter from 19.6%, it said in an exchange filing released on Thursday.
The net profit fell because of the marginal growth in revenue and a decline in operating profit during the second quarter. The consolidated Ebitda fell 7.4% on the year to Rs 27.5 crore from Rs 29.7 crore, the company said in an exchange filing.
During July–September, GM Breweries' consolidated revenue grew 0.2% annually from Rs 149 crore to Rs 152 crore, the exchange filing said.
The country liquor maker saw marginal rise in its expenses for the period under review at Rs 569.8 crore, compared with Rs 566.3 crore in the year-ago period. Change in inventory stood at Rs 2.36 crore, compared to inventory windfall of Rs 84 lakh in the corresponding quarter last fiscal countered the 4.26% decline in raw material costs on annual basis at Rs 107.3 crore.
GM Breweries share price fell 6.43% to Rs 805.00 apiece on Thursday. the lowest level since Oct 7.
GM Breweries share price fell 6.43% to Rs 805.00 apiece on Thursday. the lowest level since Oct 7. It was trading 6.20% down at Rs 807.90 apiece, as of 1:22 p.m. 0.28% advance in the NSE Nifty 50 index.
The stock opened 0.78% higher at Rs 867.00 apiece in the morning. Before the second quarter result, GM Breweries share price rose as much as 2.29% to Rs 880.00 apiece.
The stock gained 46.21% in 12 months, and 48.1% year-to-date. Total traded volume so far in the day stood at 1.1 times its 30-day average. The relative strength index was at 41.81.
