Earnings Review: These 4 Nifty50 stocks delivered over 95% growth in net profit in Q1

JSW Steel: In the June quarter, JSW Steel reported a 179 percent year-on-year (YoY) rise in its consolidated net profit to ₹2,338 crore versus ₹838 crore in the year-ago period. Sequentially, consolidated net profit was down 36 percent from ₹3,664 crore in Q4FY23. Meanwhile, the company's consolidated total revenue from operations rose 10.8 percent YoY to ₹42,213 crore in Q1FY24 as against ₹38,086 crore in Q1FY23. The company reported an EBITDA margin of 16.7 percent. Brokerages remained mixed on the stock post Q1 as lower sales volumes and higher iron ore costs were offset by higher realisations due to higher export prices. The stock has gained 22 percent in the last 1 year but just 3 percent in 2023 YTD.

SBI: India's largest lender State Bank of India (SBI) beat expectations to post almost a three-fold jump in its net profit for the quarter ended June 2023. This was the bank's highest-ever net profit for the fourth consecutive quarter. However, margins were a bit disappointing in the quarter under review. SBI's Q1 net profit jumped as much as 178.25 percent YoY to ₹16,884 crore driven by robust net interest income and strong loan growth. Its net interest income (NII) for the quarter under review also rose 24.71 percent YoY to ₹38,905 crore while its domestic net interest margin (NIM) came in at 3.47 percent, up 24 bps YoY but fell on a sequential basis. The lender's asset quality also improved with its gross NPA down to 2.76 percent net NPA also fell to 0.71 percent from 1 percent last year. The stock has gained 10.5 percent in the last 1 year but has lost 6 percent in 2023 YTD.

Maruti Suzuki: India's largest passenger car manufacturer Maruti Suzuki posted strong results for the June quarter of FY24 (Q1FY24). While its profit beat estimates, its margins were below Street expectations. Maruti's standalone profit surged 145 percent year-on-year (YoY) to ₹2,485.1 crore for the quarter ended June 2023, driven by larger sales volume, improved realization, and higher non-operating income. In comparison, it posed a PAT of ₹1,012.80 crore in the year-ago period. Meanwhile, the auto major’s standalone revenue jumped 22 percent to ₹32,326.9 crore in Q1FY24 from ₹26,499 crore in the corresponding period last year. EBITDA margin also expanded by 200 basis points (bps) to 9.2 percent from 7.2 percent, YoY, but missed most analysts’ estimates. Most brokerages have retained their buy calls on the stock post Q1 and some have even raised target prices. The stock has gained 10 percent in the last 1 year and advanced 14 percent in 2023 YTD.

M&M: Mahindra and Mahindra recorded strong results in Q1FY24 beating estimates. It reported a standalone net profit of ₹2,774 crore for the quarter ended June 2023, up 98 percent from ₹1,404 crore posted in the last year period. Revenue from operations during the quarter rose 22% YoY to ₹24,056 crore. The company's EBITDA jumped 46% YoY to ₹3,547 crore during the first quarter. Most brokerages were bullish on the stock post Q1 given its business momentum, given a strong order backlog for UVs, and the target to further increase its market share in tractors on the back of new launches. The stock has gained 21 percent in the last 1 year and advanced 24 percent in 2023 YTD.