Last Updated: November 09, 2023, 14:09 IST
Shares of MTAR Technologies cracked 11.7 per cent to Rs 2,248 apiece on the BSE in Thursday’s intraday commerce after the corporate revised its monetary 12 months 2024 income and EBITDA margin steering decrease.
“We revise our annual guidance for FY24 to a revenue of around Rs 670 crore – Rs 700 crore as against previous guidance of around Rs 830 crore – Rs 860 crore with an Ebitda of around 26 per cent (+/- 100 bps) as against previous guidance of around 28 per cent ( +/- 100 bps) due to deferment of shipment plans against the confirmed orders from Clean Energy to the next fiscal year,” stated Parvat Srinivas Reddy, managing director & promoter, MTAR Technologies.
In the just lately concluded quarter, the defence gear producer reported a 32.2 per cent 12 months-on-12 months (Y-o-Y) enhance in income from operations at Rs 166.8 crore from Rs 126.2 crore within the earlier 12 months quarter.
However, a rise in prices and inventories resulted in gross revenue margin declining to 45.6 per cent to 54.1 per cent Y-o-Y. Sequentially, too, the margin shrank from 49.9 per cent reported in Q1FY24.
Further, a rise in bills led to reveal 3-per cent Y-o-Y enhance in Ebitda (earnings earlier than curiosity, tax, depreciation, and amortisation) to Rs 36.1 crore from Rs 34.9 crore. Compared to Q1FY24, Ebitda rose 4.3 per cent. Ebitda margin, too, contracted to 21.6 per cent within the quarter underneath examine from 27.2 per cent final 12 months and 22.7 per cent within the earlier quarter.
The firm’s web revenue fell 17.1 per cent Y-o-Y to Rs 20.5 crore from Rs 24.7 crore within the September quarter of final 12 months, and was flat Q-o-Q.
Meanwhile, the corporate obtained Rs 79.6 crore of orders in varied sectors together with Clean Energy – Civil Nuclear Power, Fuel cells and Hydel, Space, Defence, Products and others in Q2FY24.
Reddy stated the lengthy-time period progress of the corporate stays intact because the sectors MTAR is catering to are witnessing important progress. In addition, we anticipate there might be an acceleration of orders influx from H2FY24, he added.
MTAR Tech is a number one precision engineering firm engaged within the manufacture of mission vital precision parts with shut tolerances (5-10 microns) for sectors akin to clear vitality, nuclear, area and defence.
All 5 analysts that observe MTAR Technologies proceed to have a “buy” suggestion on the inventory.
Despite right this moment’s drop, shares of MTAR Tech are up 43 per cent to date in 2023.
Disclaimer:Disclaimer: The views and funding ideas by specialists on this News18.com report are their very own and never these of the web site or its administration. Users are suggested to test with licensed specialists earlier than taking any funding selections.
