Texmaco Rail & Engineering shares zoom 12% on strong Q2 results
Texmaco Rail & Engineering jumped 12% to Rs 150 in Monday's trade on BSE after the firm reported a consolidated net profit of Rs 24.6 crore, marking a 60% increase compared to the net profit of Rs 15.4 crore recorded in the same period last year.
Its revenue from operations for the second quarter of FY24 saw a 66.32% growth, reaching Rs 805 crore compared to Rs 484.4 crore in Q2FY23.
The company reported an EBITDA of Rs 76 crore, indicating a YoY increase of 77%. While the EBITDA margin remained steady on a YoY basis at 9%, it showed a 600 basis point improvement sequentially.
Segment-wise, the heavy engineering division contributed the most to the company’s overall revenues.
Gross revenue from the segment jumped over three-fold to Rs 616 crore in Q2FY24 from Rs 192 crore in the year-ago period.
The steel foundry division’s gross revenue jumped 64% YoY to Rs 202 crore in Q2FY24, compared to Rs 123 crore in the previous year.
At 10.38 a.m., the scrip was trading 6% higher at Rs 141.9 on BSE. Meanwhile, the stock has delivered multibagger returns of over 200% in the past six months.
Also, it has rallied over 330% in the last two years, and over 540% in three years.
Technically, the stock's Day RSI (14) is at 52.9. The RSI below 30 is considered oversold, and above 70 is overbought, Trendlyne data showed.
MACD is at -0.5, which is below its Signal and Center Line, this is a strong bearish indicator.
Texmaco Rail & Engineering shares are currently trading above their 20-day, 50-day, 100-day and 200-day Simple Moving Averages (SMA).
Texmaco Rail & Engineering operates two business segments – the heavy engineering division and the foundry division. It manufactures a range of products, including railway freight cars,
