GM Breweries share price falls 4% after Q2 profit dips 43% to Rs 11 crore

GM Breweries share price fell 4 percent intraday on October 8 after the company declared its second quarter earnings.

The company in an exchange filing said that its net profit went down 43.5 percent at Rs 11.2 crore against Rs 19.8 crore YoY. Revenue of the company was down 40 percent at Rs 72.6 crore against Rs 121.4 crore YoY.

EBITDA fell 37.2 percent at Rs 15.2 crore against Rs 24.3 crore YoY while EBITDA margin stood at 21 percent against 20 percent YoY.

The stock was trading at Rs 390.65, down Rs 16.20, or 3.98 percent at 12:08 hours. It has touched an intraday high of Rs 409.60 and an intraday low of Rs 388.90.

It also witnessed spurt in volume by more than 1.84 times and was trading with volumes of 7,108 shares, compared to its five day average of 3,779 shares, an increase of 88.09 percent.

According to Moneycontrol SWOT Analysis powered by Trendlyne, the company has been inefficient in use of capital to generate profits - RoCE declining in the last 2 years with the recent results indicating declining operating profit margin and net profits (YoY).

Moneycontrol technical rating is neutral with moving averages and technical indicators being neutral.