Shares of Hi-Tech Pipes jumped nearly 10 percent on Monday after the company posted its highest-ever profit, revenue and EBITDA for the quarter ended March 2023.
The company's consolidated net profit jumped 42 percent YoY to ₹16 crore as against ₹11.2 crore in the year-ago period. Meanwhile, its revenue from operations advanced 18 percent YoY to ₹701.85 crore from ₹594.77 crore in the corresponding quarter of the previous fiscal year.
The company’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) also rose 13 percent YoY basis to ₹33.75 crore whereas its sales volumes increased by 26 percent y-o-y to 1.07 lakh tonnes (LT).
The company also informed that its debt-equity ratio has improved significantly to 0.66x in FY23 from 1.42x in FY22 and debt service coverage ratio has improved to 1.33x from 1.56x.
"During this quarter, we have registered the highest-ever sales volume, revenue, PAT and EBIDTA. Net working capital days of the company have reduced substantially to 48 days," said Ajay Kumar Bansal, Chairman and MD, Hi-Tech Pipes.
He further stated that going forward the firm will continue to look at opportunities to expand in the high demand and profitable geographies of the country as well as increase share of value added products in the portfolio.
However, for the entire financial year FY23, Hi-Tech Pipes' net profit was down 6 percent at ₹37.8 crore while revenue from operations increased 27 percent to ₹2,385.85 crore.
The stock surged as much as 9.5 percent to its day's high of ₹83.50.
The stock is still down 16 percent from its 52-week high of ₹99.50, hit on January 24, 2023, but has soared over 158 percent from its 52-week low of ₹32.3, hit on June 23, 2022.
In the last 1 year, the stock has gained nearly 45 percent but is up just 2 percent in 2023 YTD. The stock has advanced around 3.5 percent in May so far after a 3.8 percent decline in April. Meanwhile, in March, the stock added 2.8 percent following a massive 17 percent fall in February. In Jan, the stock rallied 14.5 percent.
