Now Reading: Mercury EV-Tech Q1 revenue up 48%, net profit dips 4%
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Mercury EV-Tech Q1 revenue up 48%, net profit dips 4%
Mercury EV-Tech logged a 47.9% year-on-year rise in revenue from operations to Rs 33.38 crore for the June quarter. EBITDA grew 38.1% to Rs 2.62 crore, but net profit slipped 4.2% to…
The Story in Brief
Mercury EV-Tech logged a 47.9% year-on-year rise in revenue from operations to Rs 33.38 crore for the June quarter. EBITDA grew 38.1% to Rs 2.62 crore, but net profit slipped 4.2% to Rs 1.56 crore as operating expenses jumped to Rs 31.79 crore from Rs 20.88 crore a year ago.
The small-cap stock, which surged nearly 4,900% between April 2022 and December 2023, has fallen 74% from its September 2024 peak of Rs 140 to around Rs 34. Livemint reports that five-year returns still stand at an impressive 1,775%.
The Indian Opinion
The 'multibagger' label masks a worrying trend: revenue is climbing, but costs are eating into profits and the stock has crashed from its high. Investors should not chase past returns. The real test is whether the company can control material and purchase costs in the coming quarters. Watch Q2 expenses closely, if margins don't recover, the bull story loses its charge.
Source: livemint.com
This story was synthesised by AI from the source linked above.
