Shares of Deepak Nitrite fell 7.51% to ₹2,070.10 after the company reported a 51.5% decline in consolidated net profit for Q3 FY25, down to ₹98.09 crore from ₹202.05 crore in Q3 FY24. Net sales also dropped 5.3% to ₹1,903.40 crore, compared to ₹2,009.23 crore in the same quarter last year.
The company’s management remains optimistic about profitability improving from Q4 onwards, citing factors such as demand recovery, margin normalization, and cost-efficiency measures. Investors will look for further clarity during Deepak Nitrite’s conference call scheduled for February 17 at 12 PM.
Morgan Stanley has suggested that core earnings may have bottomed out, with new product launches, improved productivity, and cost-cutting initiatives expected to aid recovery. The brokerage anticipates normalization in demand and margins into FY26, which could provide long-term upside for the stock.
Separately, United Breweries also reported a 55% decline in consolidated net profit to ₹38.40 crore, down from ₹85.34 crore in Q3 FY24, reflecting broader challenges in the market.
Deepak Nitrite remains above its 52-week low of ₹2,021.00 but significantly below its 52-week high of ₹3,169.00. Investors will closely monitor management commentary and industry trends for future outlook.
Disclaimer: The above stock update is based on publicly available financial results and brokerage reports. Investors are advised to conduct their own research and consult with a financial advisor before making any investment decisions.
