Divi’s Labs at new high

Divi’s Labs, which had closed on Friday at Rs.2784.25, opened much higher at Rs.3062 and went on to hit an all-time high at Rs.3228.05. Figuring among the top three gainers on the BSE currently, it remains almost 15% up.

The market is super thrilled with the company’s earnings for Q1FY21 wherein it posted a whopping 81% (YoY) jump in consolidated net profit at Rs.492 crore on the back of a 46$ jump in total income at Rs.1748 crore.

Its EBITDA rose 81% at Rs.700 crore while margins jumped up from 33.2% to 40.4%.

The company stated that did experience any significant impact on its operations, supply chain and recoverability of carrying amounts of financial and non-financial assets due to COVID 19 pandemic.

The company said that while a significant part of the ongoing capex programs had been completed during the last financial year, due to the pandemic, there has been delay in implementing the balance part of the capex programs taken up by the company due to non-availability of workmen of some contractors implementing the projects. It has seen improvement subsequently in terms of some of the technicians of contractors reporting for duty and materials arriving at site and it expects to complete the capex programs by second half of the financial year.