VST Inds hits new high

This is the third largest cigarette making company in India, next to ITC and Godfrey Philips. The stock price hit a new 52-week high today at Rs.1924.90 after it posted a good set of numbers for Q4 and Fy14. It continues to remain in the green, currently up almost 6% at Rs.1881.40.

The company for Q4Fy14 posted a 18% (YoY) jump in net sales at Rs.189 crore, helped by robust demand and a 21% drop in payment in excise duty. Operating costs as a percentage of net sales was down at 70% compared to 76% in Q4FY13. Tax outgo rose 67% from Rs.15 crore to Rs.25 crore. It ended the quarter with a net profit at Rs.52 crore, up 48%.

For FY14, the company posted a 185 increase in net sales at Rs.785 crore and net profit for the year was at Rs.150 crore, up 19%. On an equity of Rs.15.44 crore (Rs.10 face value), EPS for the year was at Rs.97.24, discounting the current price by over 19 times.