JK Tyre figures out among the top gainer on the BSE today; the stock price rose 8% to Rs.155.55. Its 52-week high is at Rs.192.95.
The market has given it a big thumbs up after it posted a set of very good numbers for Q4FY18.
The company posted a very good 77% (YoY) jump in net profit at Rs.159 crore though revenue was down 1% at Rs.2284 crore.
A 142% jump in other income at Rs.113 crore and a 6.5% drop in total expenses, led mainly by the move to GST vis-à-vis the excise duty outgo of Rs.157 crore in Q4FY17 helped boost the bottomlines despite lower sales.
What truly helped are the capacities acquired through Cavendish Industries, which aided JK Tyre gain market penetration apart from increasing its presence in the fast growing 2/3 wheeler segment.
The company registered a growth higher than the industry, which helped JK Tyre increase its presence across categories especially in Truck, Light Truck, SCV, Farm and OTR tyres.