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GM Breweries Shares Fall After Q4 Margin Slumps

However, the company's net profit more than doubled on robust income from other categories.

<div class="paragraphs"><p>Image representational. (Source: Freepik)</p></div>
Image representational. (Source: Freepik)

Shares of GM Breweries Ltd. declined on Thursday after its earning before interest, tax, depreciation and amortisation, or Ebitda, margins slumped in the fourth quarter, even as its profit more than doubled.

The alcoholic beverage maker's Ebitda margin contracted 437 basis points to 15.76% in quarter ended March, according to an exchange filing.

Net profit jumped 148.57% year-on-year to Rs 87 crore during the same period.

GM Breweries Q4 Earnings Key Highlights (YoY)

  • Revenue up 3.3% at Rs 159.8 crore.

  • Ebitda down 19.74% at Rs 25.2 crore.

  • Margin down 437 basis points at 15.76%.

  • Net profit up 148.57% at Rs 87 crore.

GM Breweries Shares Fall After Q4 Margin Slumps

Shares of the company after rising as much as 4.19%, the highest level since Jan. 7, 2022, erased all gains to trade 2.93% lower as of 12:57 p.m., compared to 0.19% advance in the NSE Nifty 50.

The stock has risen 29.33% in past 12 months. Total traded volume so far in the day stood at 30 times its 30-day average. The relative strength index was at 71.37, implying the stock was slightly overbought.

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