Gokaldas Exports hit the upper circuit yesterday at Rs.60.90 and today too, within minutes of opening for trading, it hit the upper circuit once again at Rs.66.95, up 10%. Its 52-week high stands at Rs.75.50.

The stock has been hitting the upper circuit ever since it announced its turnaround numbers for Q4Fy14. The company which manufactures and exports readymade garments posted a net profit of Rs.6.35 crore for Q4 compared to loss of Rs.11 crore in Q4FY13 though sequentially, it had already turned around, net profit came in much higher than Rs.1 crore. Revenue at Rs.321 crore was up 17% (YoY) and up 26% (QoQ). EBIDTA for the quarter was Rs. 24 core, up 166% (YoY). EBIDTA margin has more than doubled to 7.6% in Q4 from 3.4% in previous Q4.

The company has stated that growth in Q4 FY14 has been broad-based with both exports as well as domestic businesses showing revenue expansion. This has been driven by strong order flow in the second half of FY14. Demand levels have been steady and Euro zone is showing signs of improvement which should be positive for the industry as a whole.