On the back of strong quarterly results, Finolex Industries shares spurted near 15 per cent, to hit a new 52-week high of Rs 198.9 on the BSE intraday trade on Monday. The stock breached its earlier high of Rs 178.75 per share, touched on June 23, 2021. 

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The pipe manufacturing company reported over a five-fold jump in profit at Rs 297 crore in the March-ended quarter of the financial year 2020-2021 as compared to Rs 56 crore in the same period year ago.  

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The Q4 profit of the company grew amid healthy operational performance and India’s largest and only backward integrated manufacturer of PVC pipes and fittings.  

Finolex Industries registered a revenue growth of over 62 per cent at Rs 1,249 crore, while EBITDA grew 305 per cent to Rs 424 crore and the margin improved to 33.9 per cent a year-on-year basis. 

At around 01:15 pm, the stock was trading near six and a half per cent higher to Rs 184.8 per share on the BSE, as compared to Rs 173.65 apiece previous close. Similarly, it outperformed the market by surging 62 per cent, as compared to an 8 per cent gain in the S&P BSE Sensex in the last three-month. 

Finolex in its filing to exchanges said, PVC pipes and fittings volume registered a YoY decline of 3.6 per cent to 60,232 MT, while PVC resin volume grew by 75,281 MT, up 25.3 per cent YoY. 

The company in its filing has also announced a share split which was received positively by the markets reflecting confidence in the long-term growth plans of the company.  

The share split has increased the liquidity of the company’s shares and allows more investments through the open market, with the widening of the distribution of company stocks, the management said in a commentary.