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News Topical, Digital Desk : Stock Crash : Shares of Subros Ltd. plunged more than 12 % on Tuesday , November 11 , following the company 's September quarter ( Q2 ) results , which were announced after market hours on Monday. This is the company's biggest one - day decline since March 2020 .
The company reported an 11.8% increase in net profit for the quarter. Profit rose to ₹ 40.7 crore from ₹ 36.4 crore a year earlier. Revenue increased 6.2% to ₹ 879.8 crore , compared to ₹ 828 crore in the same quarter last year .
Operational performance remained weak
Subros ' operational financials showed weakness in the quarter . EBITDA fell 10.1% from ₹ 76.1 crore to ₹ 68.4 crore.
EBITDA margins fell from 9.2% to 7.7%. The company's margins were significantly impacted by rising raw material costs and employee expenses.
Slight increase in H1 performance
The company's earnings grew 7% in the first half of the fiscal year, driven by volume growth and the start of production in new business lines . Subros provides thermal solution products for cars, buses, trucks, tractors , reefers , railways, and room ACs.
In an investor presentation, the company said that its growth across all segments has been in line with the industry and it is expanding its CV ( commercial vehicle ) business into bus, truck and railway segments .
stock status Subros shares traded down 11.7% on Tuesday at ₹ 892.3 . Despite today's sharp decline, the stock is still up 40% on a year -to- date ( YTD) basis. Overall, weak operational performance and declining margins have put significant pressure on Subros shares.
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