Shares of Jupiter Wagons fell 5% as they hit the upper limit of the circuit at Rs 232.95 on August 8 after the wagon maker released a bumper set of figures for the quarter ended June .
Consolidated net profit increased nearly fivefold to Rs 62.85 billion from Rs 12.81 billion in the same period last year.
Revenue increased 155% YoY to Rs 753.19 while EBITDA (earnings before depreciation and interest payments) increased 222% to Rs 96.81.
Operating profit margin came in at 12.85% in the quarter ended June, compared with 10.17% a year ago. The margin growth is attributed to improved product mix and introduction of value-added products. The company has a backlog at Rs 612,230 as of June 30, 2023.
management comment
“The overall outlook remains favorable and the main objective of the company is to create sustainable value for all stakeholders,” said Vivek Lohia, CEO of Jupiter Wagons.
The demand scenario for wagons remains bullish with a significant backlog of Rs 1,06,000 lakh received from private customers during the quarter. He said the company expects this momentum to continue for the foreseeable future.
Jupiter Wagons enters the global freight wagon market through its partnership with RITES and is currently actively participating in tenders in Zimbabwe and Mozambique. The company has received the first order for SMT welding bushing and is preparing for production.
Additionally, it began shipping brake disc assemblies this quarter and anticipates strong demand for these products going forward. The container business is also attracting significant interest from international customers for specialized products.
In addition, the company has made progress in up-and-coming business areas such as brake systems and electric light commercial vehicles.
