Ratnamani Metals gains over 3% on upbeat Q3 earnings

Shares of Ratnamani Metals and Tubes gained on February 14 as investors cheered for the company’s strong earnings report for the quarter ended December.

At 12.08pm, Ratnamani Metals was trading at Rs 2,174.95 on the National Stock Exchange, up 3.07 percent from the previous close.

The company’s revenue increased by 14 percent on-year to Rs 1,057 crore, while EBIDTA margin also expanded by 440 basis points to 18.4 percent during the October-December period.

The improvement in gross margins due to easing raw material costs helped drive the expansion in EBIDTA margin.

The company’s net profit for the period also increased by 49 percent YoY to Rs 132 crore, thanks to a robust topline and strong operational performance.

The order book also remained strong in the corresponding quarter, which was seen as a positive by brokerage firm ICICIdirect.

Gains in the stock were also supported by strong volumes that were more than double the 20-day daily traded average volumes. Moreover, the stock has been on a losing streak for the past three sessions which would have also triggered some buying from lower levels.