Now Reading: Crompton Greaves shares fall 7% despite Q1 profit growth
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Crompton Greaves shares fall 7% despite Q1 profit growth
Crompton Greaves Consumer Electricals shares fell 7% to Rs 250 on Friday, despite the company reporting strong April-June results. Revenue rose 11.8% year on year to Rs 2,235 crore, while profit after…
The Story in Brief
Crompton Greaves Consumer Electricals shares fell 7% to Rs 250 on Friday, despite the company reporting strong April-June results. Revenue rose 11.8% year on year to Rs 2,235 crore, while profit after tax increased 15.2% to Rs 143 crore. EBITDA stood at Rs 224 crore, up 14.2%, according to The Economic Times.
The company said growth was broad-based, led by BLDC fans, lighting and Butterfly appliances. BLDC fan sales rose nearly 44%. NDTV Profit reported a 66% rise in EBITDA, a figure that differs sharply from The Economic Times’ 14.2% figure. Jefferies and Citi retained their buy ratings, NDTV Profit said.
The Indian Opinion
The easy story is that investors ignored good results, or that the fall proves the business is weakening. Neither conclusion follows from one trading session. The sharper issue is the conflicting EBITDA growth figures, which must be reconciled before judging the quarter. Investors should also track whether premium products and new solar offerings lift margins without slowing demand. The next result should settle this with comparable EBITDA and margin numbers.
Sources (2): ndtvprofit.com, economictimes.indiatimes.com
This story was synthesised by AI from the 2 sources linked above.
