Amara Raja Batteries share price gained 11.58% to the day's high of Rs 729.75 on the BSE after the company clocked its highest ever profit booked in a quarter, in spite of challenging automotive sector market.
Amara Raja's stock opened with a gain of 3.36% today and later jumped 11.58% to touch the intraday high of Rs 729.75 on the BSE. The stock outperformed 'Auto Parts & Equipment-Batteries' sector by 5.08%, where the sector has grown 4.97% intraday.
Amara Raja stock price has moved above its 30, 50 and 200-day simple moving average in today's trade. The stock has fallen over 3% year-to-date, however, it has grown 5% in one month and 9% in one week.
Volume at the day's close stood at 1.71 lakh and 55.5 lakh shares at BSE and NSE counters, both above the 5,10 and 20-day average volume traded.
Amara Raja's net profit zoomed 82% year-on-year to Rs 218.85 crore for the second quarter ended September 30, 2019 against profit of Rs 120.23 crore for the corresponding quarter in the previous financial year, due to lower tax expenses.
Company's earnings before interest, tax, depreciation and amortisation (EBITDA) grew by 22.9% year-on-year to Rs 292 crore, on account of softer commodity prices.
Additionally, the company showed consistent margin growth performance in Q2FY20 for the fifth consecutive quarter. Company's EBITDA margin expanded 388 bps year-on-year to 17.2% in the quarter ended September 2019, beating analyst estimates. Amara Raja's Q2FY20 revenue registering a de-growth of 3.3% to Rs 1,695 crore on a yearly basis, despite steep fall in OEM revenues and lower realizations.
The company declared an interim dividend of Rs 6 per equity share on the face value of Rs 1 each for the financial year 2019-20.
Shares of Amara Raja Batteries ended 64 points or 9.83% higher at Rs 718.30 on the BSE today.