Kwality shares registered a rise of more than 7.5%, after hitting a new 52 week low of Rs 95.5 this morning.
Kwality shares registered a rise of more than 7.5%, after hitting a new 52 week low of Rs 95.5 this morning. Yesterday, the shares witnessed a sudden fall in Monday’s afternoon trade and hit lower circuit limit of 20 per cent. On Monday, the scrip settled 19.99 per cent down at Rs 114.25.
According to media reports, the management has declined the news of pledged shares being sold in the market. Further, the management says that it is unaware of any significant information which is leading to the fall of the share prices. The shares have lost more than 14% in the last one month. The cheese manufacturing company’s shares have declined by more than 10% in the year. In comparison, the BSE Smallcap index has returned more than 26% in the same period.
Kwality Ltd reported a 34.06 per cent drop in net profit at Rs 27.87 crore against Rs 42.27 crore in the same quarter of last year for the latest quarter ending 30th June 2017. The net profit nosedived as the company’s expenses including finance cost surged to Rs 1,536.96 crore in the April-June period of the current fiscal from Rs 1,418.92 crore in the year-ago period.
The company is one of the largest processors and handlers of dairy products in India in the private sector. It mainly market and sells its products under the umbrella Brand, “Dairy Best”.According to the company’s website, it has various milk processing plants with a capacity to handle around 3 million litres of milk per day. Currently, Kwality has six manufacturing units located at Palwal (Haryana), Bulandsahar (UP), Saharanpur (UP), Jarar (UP), Sitapur (UP), and Ajmer (Rajasthan). Further, Kwality has an extensive network of milk chilling centres situated across Rajasthan, UP, Punjab, and Haryana for direct collection of milk from milk producers.