Tinplate shines bright today

Tinplate Company of India Ltd (TCIL) is in the limelight today, post its Q2FY16 performance. The stock opened Rs.2 higher at Rs.70.50, going up to an intra day high of Rs.71. It is currently up 2.5% at Rs.70. The company’s 52-week high is at Rs.79.30.

The company for the Q2 posted a 11% (YoY) decline in net sales at Rs.223 crore and yet net profit was up 40% at Rs.21 crore. This was thanks mainly to the reduction in costs. EBITDA was up at 30% at Rs.48 crore while margins were up from 14.8% to 21.52%. Interest cost was down 65%.

TCIL is an associate company of Tata Steel. Incorporated in 1920 at Jamshedpur, TCIL is the leader in the Indian tinplate industry. It has been exporting 25-30 per cent of its production to South East Asia, West Asia and Europe, and hopes to increase this proportion.