INTERMEDIARY Q2 net profit up 21% year over year; shares rise 4%

 INTERMEDIARY Q2 net profit up 21% year over year; shares rise 4%

Over the last six months, the Concor stock has returned 9.68 percent of its initial investment. Over the same period, the benchmark Nifty50 index has returned 5.77 percent.

CONCOR had declared a net profit of Rs 303.8 crore for the same time last year.

Container Corporation of India's shares increased by more than 4% in trading on November 3 after the company's announcement of consolidated earnings that increased by 21.8 percent year over year to Rs 481.76 crore.

The Container Corporation of India shares was up 4.62 percent at Rs 714.23 on the NSE at 11:01 a.m.

According to financial figures released by the public sector business on November 2, Container Corporation of India (CONCOR) saw a 21.8 percent year-over-year increase in consolidated net profit to Rs 481.76 crore in the second quarterly period of the fiscal year 2023–24 (Q2 FY24).

CONCOR had declared a net profit of Rs 303.8 crore for the same time last year. In the September 2023 quarter, the profit after tax grew sequentially from Rs 252.55 crore in Q1 FY24. The September quarter saw a 26.13 percent YoY improvement in domestic volumes, which contributed to Concor's 10.5 percent YoY increase in Q2 revenues to Rs 2,194.87 crore.

Sequentially, the figures were also higher since the June 2023 quarter's revenue was Rs 1,922.84 crore. The company's new chairman and controlling director, Sanjay Swarup, indicated that CONCOR had recorded its best-ever performance in Q2FY24.

Following the effects of the exceptionally severe cyclonic storm "FANI," normalized rail operations, a shift in cargo volumes between road to rail, market share, and a recovery in Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) margin all aided the firm during the quarter.

While CONCOR's rail freight expenditures increased by just 12.7 percent in Q2FY24 to Rs 1,203.02 crore, despite a 26.13 percent increase in volumes due to the business rolling back discounts across regions, price realization improved throughout the quarter.

In the second quarter of FY24, CONCOR recorded profits before interest, taxes, depreciation, and amortization (EBIDTA) of Rs 536.93 crore, a 17.16 percent increase over the Rs 410.56 crore recorded in the same period the previous year. The company's margin increased from 23.07 percent in Q2 FY23 to 34.46 percent in the September 2023 quarter.

The stock markets were notified by CONCOR that in addition to the quarterly results, its board had approved a third interim dividend of "60 percent i.e. Rs 3 per shareholding of the face value of Rs 5 each, equating to Rs 182.79 crore."

The interim dividend will be paid to stockholders on or after November 23, with November 16, 2023, set as the record date, according to the statement. The exchange filing further said, "The dividend payment will be made following 30 days of its declaration."

The business also announced Priya Ranjan Parhi's appointment to the position of CONCOR's new Director (International Marketing & Operations). In addition, he is employed by the Railway Board as Executive Director (Infrastructure).

Parhi plays a crucial role in the development of national strategy and the implementation of large-scale special projects including high-speed and dedicated freight routes. Parhi was restricted from federal deputation, international postings, and consulting abroad on March 24, 2022, for his refusal to accept a chief vigilance officer position with the National Highways Authority of India.

In addition, during the last six months, the Concor stock has returned 9.68 percent of its value. Over the same period, the benchmark Nifty50 index has returned 5.77 percent.