Tata Metaliks loses shine

Tata Metaliks is down in the red; the stock which had closed yesterday at Rs.922.55, opened much lower today at Rs.870 and went down to an intraday low at Rs.850.80.

The stock price declined after the company reported an over 50% (YoY) decline in net profit at Rs.36 crore and this was despite a 31% increase in revenue at Rs.690 crore. The 52% increase in total costs is what depressed the bottomline.

The company, which produces pig iron and ductile iron pipes from its West Bengal plant, reported a 23% revenue increase in pig iron and 58% increase in iron pipe.