​​​
  1. Jain Irrigation shares surge 17% as results beat estimate

Jain Irrigation shares surge 17% as results beat estimate

Jain Irrigation Systems on Monday rose as much as 16.5% on the BSE, the highest single-day percentage gain in nearly seven-and-a-half years...

By: | Mumbai | Published: May 19, 2015 12:13 AM

Jain Irrigation Systems on Monday rose as much as 16.5% on the BSE, the highest single-day percentage gain in nearly seven-and-a-half years, as its Q4 results surpassed Street expectations.

After posting a loss in the previous two quarters, the Maharashtra-based micro-irrigation firm reported a net profit of R98.53 crore for the quarter ended March 2015 on sales of R2,042.5 crore, its highest ever quarterly turnover.

After gaining as much as 18.6% during day trade, the stock closed at R66.15 on the BSE. The Sensex closed 363.30 points, or 1.33%, up at 27,687.30. Trading volumes on counters of the BSE and the NSE jumped more than 10-fold against its 30-day average volume. On Monday, over 2.84 crore shares were traded, adding R428 crore to the market capitalisation.

jis

Though uneven weather has dampened Jain Irrigation’s micro-irrigation business, the performance of other divisions, such as piping and food, helped the company post a double-digit growth in both the top and the bottom line. While net sales grew 11.4%, net profit rose 30.1% y-o-y. The piping division grew about 31% in the fourth quarter, whereas the agro processing business grew almost 24% during the same period.

“We have maintained double-digit growth despite a significantly adverse agriculture situation in the country. Pipe business has started seeing growth based on new orders from infrastructure players,” said Anil Jain, MD & CEO, Jain Irrigation in an earnings call. The company brought down the debt level by about R360 crore, bringing cheer to investors.

For Updates Check Stock Market News; follow us on Facebook and Twitter

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Go to Top