Balrampur Chini Shares Show Resilience Despite Operational Weakness

Despite reporting operationally weak numbers on Tuesday, Balrampur Chini’s shares exhibited resilience, rising higher during the morning deals on Wednesday (November 8).

The mid-cap sugar manufacturer’s stock was trading up by 0.74 percent, or Rs 3.20, at Rs 435.30 at around 10 am on NSE after the company disclosed a significant profit increase in the September quarter, jumping to Rs 166 crore from a loss of Rs 16 crore in the year-ago period.

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In Q2, Balrampur Chini’s EBITDA showed a remarkable improvement, reaching Rs 165 crore compared to a loss of Rs 16 crore in the same quarter of the previous fiscal year. However, the reported figure fell short of analysts’ expectations, who had anticipated an EBITDA of Rs 191 crore.

Despite the positive turn in profits, the company’s margin for the second quarter of the current financial year stood at 10.74 percent, slightly lower than the anticipated margin of 14.3 percent.

Nevertheless, Balrampur Chini’s shares continued to trade with confidence, showing only a marginal decline of 0.95 percent at around 1:00 pm, reaching ₹428.10.