Industrial equipment manufacturing company Tega Industries Ltd shares surged 9 percent in Wednesday’s trade to hit a fresh 52-week high of Rs 899.45 apiece, after the company reported a rise of nearly 60 percent in its March quarter net profit.

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Tega Industries reported a 58.2 percent rise in net profit to Rs 77.2 crore for the quarter ended in March 2023 compared to Rs 48.8 crore posted in the same quarter last year.

Revenue during the three-month period grew by 36.7 percent year-on-year to Rs 396.4 crore, as against Rs 290 crore in the corresponding quarter of last year. The company’s earnings before interest, taxes, depreciation, and amortisation or EBITDA stood at Rs 102.7 crore in the quarter under review, up 49.3 percent from last year.

EBITDA Margin improved for the engineering solutions providing company during the March-ended quarter at 26 percent compared to 23.7 percent in the year-ago period. The company's current order book stands at Rs 344 crore.

Tega Industries caters to the global mineral, mining and bulk solids handling industry, and has recently acquired McNally Sayaji Engineering for Rs 165 crore. The company in its earnings call said that the acquisition is a significant step towards expanding its product portfolio. The management also said that the planned expansion project in Chile is progressing well.

The company's volumes grew by 16-17 percent during the quarter compared to the previous financial year, while it undertook price hikes in the range of 5-6 percent.

Shares of Tega Industries are trading 9.2 percent higher at Rs 892.95.

First Published:May 31, 2023 12:58 PM IST