Now Reading: Nandan Denim surges 7% despite 40% revenue plunge
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Nandan Denim surges 7% despite 40% revenue plunge
Nandan Denim share price jumped over 7% on Thursday, after the company reported a 31.8% rise in net profit to Rs 14.79 lakh for Q1FY27. However, revenue from operations crashed 40.6% to…
The Story in Brief
Nandan Denim share price jumped over 7% on Thursday, after the company reported a 31.8% rise in net profit to Rs 14.79 lakh for Q1FY27. However, revenue from operations crashed 40.6% to Rs 622.39 lakh from Rs 1,047.68 lakh a year ago.
Livemint reports the profit growth was largely due to a Rs 5.07 lakh tax credit for earlier years, not stronger operations. Profit before tax actually fell. The company also reappointed Jyotiprasad Devkinandan Chiripal as managing director for five more years, pending shareholder approval.
The Indian Opinion
A penny stock jumping 7% on a tax adjustment while revenue nosedives is a classic trap for retail investors chasing cheap prices. The narrative spun around "profit growth" hides the real story: falling sales and unsustainable earnings. Watch the next quarterly revenue number closely. If sales don't recover, today's spike will evaporate.
Source: livemint.com
This story was synthesised by AI from the source linked above.
