Shares of National Aluminium Company (Nalco) jumped on Wednesday, after the state-run company on Monday reported over a 66 percent rise in profit for the April-to-June 2022 quarter, compared to the same period last year.
After trading in red in the initial hours,
Nalco shares advanced close to 3 percent intraday and ended the session 1.5 percent higher at Rs 79.90 on the BSE.
Even as the company’s profit for the first quarter of the fiscal jumped 66.8 percent to Rs 578.6 crore, it was 4 percent below Street estimates, as the analysts polled by CNBC-TV18 had projected Rs 603 crore.
On the revenue front, Nalco beat estimates to witness a jump of nearly 53 percent to Rs 3,783.3 crore as against Rs 2,475 crore in the corresponding quarter last year.
The company, which has integrated and diversified operations in mining, metal and power, saw its earnings before interest, taxes, depreciation, and amortisation (EBITDA) — a measure of operating profitability — jump by almost 50 percent YoY to Rs 868.7 crore. This, however, is 6 percent below the poll projection of Rs 924 crore.
Nalco's margin for the quarter under review fell 50 basis points (bps) to 23 percent against the year-ago period. The poll had estimated the margin to come in at 26.1 percent. Factors impacting the company’s performance
The cost of power consumed, which increased 79 percent YoY to Rs 1,337 crore from Rs 749 crore, is one of the factors impacting the company’s performance.
