Transformers and Rectifiers announces Q3 earnings, bonus issue, QIP; stock reacts  

Shares of Transformers and Rectifiers (India) Ltd hit upper circuit of 5% in the afternoon session on Wednesday after the heavy electrical equipment firm reported its Q3 earnings and also approved a bonus issue. Transformers and Rectifiers will issue bonus shares in the ratio of 1:1. The board of the firm also cleared a Qualified Institutional Placement (QIP) for an amount not exceeding Rs 750 crore subject to the approval of shareholders. 
 
The stock climbed 5% to a record high of Rs 1,300.45 on BSE today. Transformers and Rectifiers shares saw a turnover of Rs 13.71 crore as 1.08 lakh shares changed hands on BSE today. Transformers and Rectifiers stock fell to a 52 week low of Rs 248.30 on January 23, 2024. Market cap of the firm climbed to Rs 18,831 crore. Later, the stock ended 1.31% higher at Rs 1254.75 on BSE. 

It has a beta of 0.9%, indicating low volatility in a year.

In terms of technicals, the relative strength index (RSI) of the stock stands at 69.7, signaling it's trading in the neither in the overbought nor in the oversold zone.

Transformers and Rectifiers shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day and 100 day moving averages.

Net profit climbed 276% to Rs 50.5 crore in the December 2024 quarter against Rs 13.4 crore in the December 2023 quarter. 

Revenue from operations climbed 49.27% to Rs 545.31 crore in Q3 against Rs 365.30 crore in tHE December 2023 quarter. 

Q3 EBITDA climbed to Rs 77.9 crore in Q3 against Rs 34.3 crore EBITDA in the  December 2023 quarter. EBITDA margin climbed to 14.29% in Q3 against 9.38% on a YOY basis. 

"Issue of Bonus Equity Shares in the proportion of 1:1 i.e. 1 (One) Bonus Equity Share of Re. 1/- (Rupee One) each for every 1 (One) existing Equity Share of Re. 1/- (Rupee One) each fully paid up, held by the shareholders of the Company as on the record date, subject to the approval of shareholders," said the firm. 

"Issuance of Equity Shares through Qualified Institutional Placement (QIP) for an amount not exceeding Rs. 750 Crores (Rupees Seven Hundred Fifty Crores), subject to the approval of shareholders," the firm said. 

Transformers & Rectifiers India is a manufacturer of Power, Furnace and Rectifier Transformers.