MRF shares trade over 2.5% lower after Q3 result announcement

Shares of MRF Ltd traded over 2.5 per cent lower at Rs 1,38,884.95  apiece on the BSE in the afternoon trade on Friday, February 9, after the tyremaker released its December quarter (Q3 FY24) results.

Meanwhile, its market capitalisation stood at Rs 59,030.75 crore at around the same time.

On Friday, MRF revealed a standalone net profit of Rs 508 crore for the October-December period, marking a significant three-fold increase compared to the same quarter last year.

According to regulatory filings, the company's revenue for the fiscal third quarter surged by 9.3 per cent year-on-year to reach Rs 6,047.8 crore.

The tyre manufacturer's quarterly margin saw a notable expansion to 17.2 per cent from 9.9 per cent a year earlier.

Zee Business reported that MRF, headquartered in Chennai, achieved an operating profit of Rs 1,040 crore for the quarter ending December 31, 2023, compared to Rs 549 crore in the corresponding period last year.

Regarding dividends, the MRF board declared an interim dividend of Rs 3 per share with a record date set for February 21.

Furthermore, the tyre maker stated that the second interim dividend for the current financial year would be announced on or after Monday, March 4.

In the September quarter, the company reported a 351.71 per cent jump in its consolidated profit after tax (PAT) to Rs 586.66 crore.

The company's revenue from operations jumped to Rs 6,217.10 crore in Q2 from Rs 5826.30 crore year-on-year (YoY). MRF's board of directors also announced an interim dividend of Rs 3 per equity share (30 per cent) for the financial year ending March 31, 2024.