United Breweries shares fall as much as 5% after Q4 profit drops sharply

United Breweries shares declined as much as 4.77% to Rs 773.35 on NSE


United Breweries reported a significant fall in stand alone net profit at Rs 6.73 crore for the fourth quarter of 2016-17 fiscal. Photo: Reuters
United Breweries reported a significant fall in stand alone net profit at Rs 6.73 crore for the fourth quarter of 2016-17 fiscal. Photo: Reuters

New Delhi: Shares of United Breweries Ltd fell almost 5% on Thursday after the company reported a significant fall in stand alone net profit at Rs6.73 crore for the fourth quarter of 2016-17 fiscal.

After making a weak opening, the stock further tanked 4.98% to Rs773 on BSE but erased some of the losses to close at Rs791.85, down 2.67% of the Wednesday’s closing level.

At NSE, shares of the company declined by 4.77% to Rs773.35 but erased the early losses to close at 801.95, down 1.26% of the Wednesday’s closing level..

It had posted a net profit of Rs52.37 crore in the same quarter of previous fiscal, the company said in a BSE filing on Thursday.

Although the company’s net income on a stand alone basis rose marginally during the period under review, its expenses remained higher compared to the year-ago period.

Net income stood at Rs2,562.03 crore in the last quarter of 2016-17, against Rs2,494.48 crore in the same period of previous year.

Expenses jumped to Rs2,554.41 crore from Rs2,420.55 crore in the said period.