This Rakesh Jhunjhunwala-backed stock zooms 20% post Q3 earnings
The mid cap stock rose 20% to Rs 609.45 against the previous close of Rs 507.90 on BSE. The share opened with a gain of 8.29% at Rs 550.
- Jan 17, 2022,
- Updated Jan 17, 2022 3:23 PM IST
Share of Rakesh Jhunjhunwala-backed footwear retail chain Metro Brands hit upper circuit of 20% today after the firm reported a reported a 54.63 per cent rise in consolidated net profit for the third quarter ended December 2021. The stock rose 20% to Rs 609.45 against the previous close of Rs 507.90 on BSE.
Rekha Jhunjhunwala, wife of the ace investor, is the third-largest shareholder in the company, owning a 14.42 per cent stake at the end of December quarter.
Metro Brands stock has gained 39.15% in the last nine days. The stock opened with a gain of 8.29% at Rs 550.
The stock touched an intraday high of Rs 609.45, rising 19.99% on BSE. Metro Brands share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. The share has gained 32.75% in 2022.
Profit rose to Rs 100.85 crore for the third quarter ended December 2021 against a net profit of Rs 65.22 crore during the October-December quarter of the previous fiscal.
Also read: Rakesh Jhunjhunwala made Rs 7 crore with this stock in 2021
Total revenue from operations rose 59.02 per cent at Rs 483.77 crore during the quarter under review against Rs 304.21 crore in the corresponding period of the previous fiscal. Total expenses climbed 47.26 per cent to Rs 362.59 crore in Q3 FY 2021-22, compared to Rs 246.21 crore in the year-ago period.
Metro Brands CEO Nissan Joseph said it was the best quarterly revenue, EBITDA and PAT in the history of the company.
"We also are encouraged by the growth we have witnessed across the multiple Tiers of cities that we operate in and the continued growth of our e-commerce and omnichannel business," he added.
As of December 31, 2021, Metro Brands operated 629 stores across 140 cities in India.
Also read: Rakesh Jhunjhunwala, Dolly Khanna, Ashish Kacholia increased stake in these firms in Q3
On the current situation, Joseph said: "We closely monitor the potential disruptions of the current COVID situation and are ready to respond to local regulations, which may impact our locations, while keeping the safety of our customers and associates as a priority".
Metro Brands collected Rs 295 crore through the initial public offer in December last year. However, the company saw a weak listing on BSE and NSE. Shares of Metro Brands listed at a discount of 12.60% at Rs 437 on NSE compared to the issue price of Rs 500.
The company offered its shares in a price band of Rs 485-500 per share. On BSE, the stock listed at Rs 436 on December 23, 12.80% lower to the IPO price. The IPO was held from December 10 to December 14. The share sale was subscribed 3.64 times on the final day of bidding.
Share of Rakesh Jhunjhunwala-backed footwear retail chain Metro Brands hit upper circuit of 20% today after the firm reported a reported a 54.63 per cent rise in consolidated net profit for the third quarter ended December 2021. The stock rose 20% to Rs 609.45 against the previous close of Rs 507.90 on BSE.
Rekha Jhunjhunwala, wife of the ace investor, is the third-largest shareholder in the company, owning a 14.42 per cent stake at the end of December quarter.
Metro Brands stock has gained 39.15% in the last nine days. The stock opened with a gain of 8.29% at Rs 550.
The stock touched an intraday high of Rs 609.45, rising 19.99% on BSE. Metro Brands share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. The share has gained 32.75% in 2022.
Profit rose to Rs 100.85 crore for the third quarter ended December 2021 against a net profit of Rs 65.22 crore during the October-December quarter of the previous fiscal.
Also read: Rakesh Jhunjhunwala made Rs 7 crore with this stock in 2021
Total revenue from operations rose 59.02 per cent at Rs 483.77 crore during the quarter under review against Rs 304.21 crore in the corresponding period of the previous fiscal. Total expenses climbed 47.26 per cent to Rs 362.59 crore in Q3 FY 2021-22, compared to Rs 246.21 crore in the year-ago period.
Metro Brands CEO Nissan Joseph said it was the best quarterly revenue, EBITDA and PAT in the history of the company.
"We also are encouraged by the growth we have witnessed across the multiple Tiers of cities that we operate in and the continued growth of our e-commerce and omnichannel business," he added.
As of December 31, 2021, Metro Brands operated 629 stores across 140 cities in India.
Also read: Rakesh Jhunjhunwala, Dolly Khanna, Ashish Kacholia increased stake in these firms in Q3
On the current situation, Joseph said: "We closely monitor the potential disruptions of the current COVID situation and are ready to respond to local regulations, which may impact our locations, while keeping the safety of our customers and associates as a priority".
Metro Brands collected Rs 295 crore through the initial public offer in December last year. However, the company saw a weak listing on BSE and NSE. Shares of Metro Brands listed at a discount of 12.60% at Rs 437 on NSE compared to the issue price of Rs 500.
The company offered its shares in a price band of Rs 485-500 per share. On BSE, the stock listed at Rs 436 on December 23, 12.80% lower to the IPO price. The IPO was held from December 10 to December 14. The share sale was subscribed 3.64 times on the final day of bidding.