Havell’s India rose almost 9% to Rs.608.75, a new 52-week high. After PC Jewellers, it is currently second largest gainer on the BSE.

The market is thrilled with the company’s Q1FY19 performance, which beat all estimations. On a 39% (YoY) jump in sales at rs.2596 crore,  it posted a healthy 73% jump in net profit at Rs.210 crore.

Operating profit jumped up 81% at Rs.312 crore and margins showed a very good improvement of 276 bps to 12%.

The performance was driven by the over 29% jump on revenue of electric consumer durables and 14% increase in switchgears. Lighting topline dropped 5%. The sales from its acquired Lloyd Consumer showed a 165% rise.

Following these numbers, Morgan Stanley put out a report maintaining its “Overweight” rating and target price is at Rs.642. It expects the reduction in GST rates to also aid the company and foresees faster revenue generation for company in the medium term.