Newly listed Azad Engineering gained over 8 per cent in morning deals on Wednesday (February 7), snapping a two-day losing streak and touching an intra-day high of Rs 973.10 apiece. The rally in the stock came after the company posted a more than three-fold increase in its profit after tax (PAT) for the December quarter.

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At around 10:35 a.m., shares of Azad Engineering traded 5.97 per cent or Rs 53.55 higher at Rs 950.8 apiece. The market capitalisation of the company at around the same time stood at Rs 5,620.46 crore.

Azad Engineering Q3 results 

Hyderabad-based Azad Engineering on Tuesday reported an over 3X increase in profit at Rs 16.8 crore for the quarter ended December 2023 against Rs 3.83 crore in the year-ago period. Revenue from operations in the third quarter of the current fiscal rose 49 per cent to Rs 89.23 crore from Rs 68.8 crore in the same period a year ago.

The company's energy segment accounted for 81 per cent of the total revenue, while the aerospace and defence business contributed 17 per cent.

Exports revenue accounted for 88 per cent.

Management commentary 

"We delivered 49 per cent year-on-year (YoY) revenue growth in both Q3 FY24 and 9M FY24. This growth is marked by a 3x YoY growth in our aerospace and defense segment.

"In the coming years, we expect this business will contribute to our revenues on par with the energy segment, with oil and gas coming in second," Rakesh Chopdar, Chairman & CEO of Azad Engineering, said. The company made its debut on the stock exchanges last month.

Azad Engineering share price: Past performance 

In a year, shares of Azad Engineering have gained over 40 per cent since listing in December 2023.

(With inputs from agencies)

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