Why did BBTC shares jump nearly 15% in early trade?

Shares of The Bombay Burmah Trading Corporation Ltd (BBTC) surged 14.71 per cent in Thursday's early trade to hit a high of Rs 1,634.95 after the Supreme Court recalled an observation concerning a Rs 4,655.24 crore lease-rent liability related to the company's erstwhile tea estate in Singampatti, Tamil Nadu.

In its August 19, 2026 order, the Supreme Court allowed BBTC's interlocutory application seeking recall and expunging of an observation made in paragraph 59 of its May 29 order.

The earlier order had recorded that lease rent of Rs 4,655 crore "remains to be recovered" by the Tamil Nadu government from BBTC.

BBTC subsequently sought recall of the observation, stating that the civil appeals before the court did not concern the lease-rent issue. The company also submitted that it had not received any notice, demand or computation of the alleged amount and had not been given an opportunity to object to or be heard on the liability.

In its August 19 order, the Supreme Court noted that the Rs 4,655.24 crore amount had neither been the subject of a notice served on BBTC nor finally determined after giving the company an opportunity of hearing.

The court, therefore, held that the observation in paragraph 59 of its earlier order warranted recall and expunged it.

The proceedings relate to the company's erstwhile tea estate in Singampatti, Tamil Nadu.

"The Corporation will continue to take all necessary steps in the matter and will keep the stakeholders appropriately informed of any material developments," BBTC further stated.

Q1 earnings

Separately, BBTC reported a 19.72 per cent year-on-year (YoY) increase in consolidated net profit for the June quarter.

Profit for Q1 FY27 stood at Rs 288.16 crore, compared with Rs 240.70 crore in the corresponding quarter of the previous year.

Revenue from operations rose 7.99 per cent YoY to Rs 5,088.69 crore in Q1 FY27 from Rs 4,711.91 crore in the year-ago period.