Shares of cement major ACC rallied 5 percent intraday on July 19 after reporting better-than-expected earnings for the quarter ended June 2019. Most brokerage houses remained bullish on the stock and expect the stock to return more than 30 percent.
The stock was one of the biggest gainers among largecaps in last one year, rising 25 percent. It was trading at Rs 1,621.30, up 3.45 percent on the BSE at 0956 hours.
The cement maker reported a solid 39 percent year-on-year growth in June quarter profit at Rs 456 crore and 7.8 percent growth in revenue from operations at Rs 4,152 crore.
Sales volumes declined 0.6 percent at 7.20 million tonnes but still managed to exceed CNBC-TV18 poll estimates of 7 million tonnes.
ACC June quarter profit up 39% to Rs 456 cr
ACC Consolidated June 2019 Net Sales at Rs 4,149.82 crore, up 7.84% Y-o-Y
ACC Standalone June 2019 Net Sales at Rs 4,149.72 crore, up 7.83% Y-o-Y
At operating level, earnings before interest, tax, depreciation and amortisation (EBITDA) increased 25 percent to Rs 784 crore and margin expanded 264 bps to 18.89 percent in Q2.
The company follows January-December as a financial year.