Chalet Hotels spikes 6% in afternoon trade on healthy earnings growth for Q3
Chalet Hotels | The growth in numbers were driven by healthy top line as well as operating performance. Higher other income also boosted profitability.
Sunil Shankar Matkar
January 24, 2023 / 02:41 PM IST
Chalet Hotels shares spiked nearly 6 percent in afternoon on January 24 on the back of healthy earnings across parameters announced for the quarter ended December FY23.
The stock traded at Rs 362 on the NSE at 2:19pm, keeping up its northward journey for the fourth consecutive session.
The hotel chain operator has clocked a consolidated profit of Rs 102.3 crore for the December quarter, against a loss of Rs 14.6 crore in the corresponding period last fiscal, and a significant increase from profit of Rs 15.7 crore reported in the previous quarter.
The growth in numbers were driven by a healthy topline as well as operating performance. Higher other income also boosted profitability.
Consolidated revenue from operations at Rs 289.7 crore for the quarter grew by 76.5 percent over the same period last fiscal, the K Raheja Corp group company said in its exchange filing on January 24.
At the operating level, EBITDA (earnings before interest, tax, depreciation and amortisation) surged nearly three-fold to Rs 113.5 crore for the December FY23 quarter, up from Rs 40.4 crore last fiscal. Operating profit margin at 39.2 percent for the quarter expanded by more than 14 percentage basis points over year-ago period.
The stock has seen formation of a long, bullish candlestick pattern on the daily charts with significantly higher volumes for the second straight day. It has been making a higher-high-higher-low formation for the third straight session, with the momentum oscillator RSI (relative strength index - 14) around 64 level, indicating positive mood in the counter.
The stock gathered momentum after crossing its 20 DMA (simple moving average) on Tuesday, with the Bollinger band expansion indicating increased price movement and an upward trend.
It has decisively broken the Mother candle range on the upper side formed on January 5 with breaking-out downward sloping resistance trend line adjoining highs of November 7, 2022 and January 23, 2023 while taking support of 200 DEMA (day exponential moving average).
The stock is trading well above all important moving averages, indicating positive mood among participants.
