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HomeNewsBusinessMarketsTriveni Turbine stock soars to record high; surges 27.5% in two sessions

Triveni Turbine stock soars to record high; surges 27.5% in two sessions

The strong buying activity in Triveni Turbine shares was driven by a sharp surge trading volumes, fueled by the company's promising growth prospects.

November 26, 2024 / 14:37 IST
Triveni Turbine had reported its highest ever quarterly revenue and EBITDA, along with a record closing order book in Q2.
     
     
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    Shares of Triveni Turbine were on a roll, advancing as much as 16 percent to hit its record high of Rs 885 on November 26. The strong buying action in the stock was triggered by a steep spike in trading volumes on the back of the company's robust growth prospects.

    As much as three crore shares of the company have changed hands on the exchanges so far, a meteoric rise from the one month daily traded average of 25 lakh shares. Volumes were also strong in the previous session when 56 lakh shares changed hands.

    At 2.22 pm, shares of Triveni Turbine were trading at Rs 837 on the NSE, though firm in the green but still off its day's highs. Regardless, with the gains today, the stock not just extended its uptrend to the second session but also helped it deliver 27.5 percent gains in just two days.

    The company's robust performance for the July-September quarter had sharply lifted sentiment for the stock. Triveni Turbine had reported its highest ever quarterly revenue and EBITDA, along with a record closing order book in Q2.

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    The company's revenue came at Rs 501 crore in Q2 FY25, up 29 percent compared to Rs 388 crore in the same period last year. Domestic sales rose 32 percent while exports grew 26 percent. Operational performance also improved as EBITDA margins expanded 320 basis points on year, climbing to 26.1 percent in Q2 FY25 from 22.9 percent in the last fiscal's corresponding quarter.

    Backed by the strong topline and operating margins, net profit also surged 42 percent on year Rs 91 crore during the quarter. The company secured order bookings worth Rs 572 crore, a 25 percent growth as against Rs 459 crore in the year ago period. Export order bookings led this growth, soaring 50 percent while domestic order bookings rose 4 percent.

    While domestic order bookings remained largely muted due to elections season, Triveni Turbine remains confident of an improvement in the cycle as government spending is expected to gather pace in the second half of FY25.

    Meanwhile, Motilal Oswal Financial Services anticipates Triveni Turbine to continue to benefit from robust international order inflows, driven by the ongoing global shift toward renewables. Additionally, domestic inflows are expected to gain momentum in the coming quarters, fulled by demand from key end-user industries such as steel, cement, chemicals, sugar, distilleries, and paper and pulp, the brokerage noted.

    Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

    Moneycontrol News
    first published: Nov 26, 2024 02:37 pm

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