Kirloskar Ferrous down in red

Kirloskar Ferrous is down in the red today morning. The stock fell almost 2.5% to Rs.99.50 and remains firmly remains in the negative.

The stock is down after the company announced that it was shutting down one of its mini blast furnace due to poor market conditions. The company is engaged in the manufacture of iron castings. This does not bode too well for the market and speaks volumes about the Indian economy – the reality is that demand is simply not there due to lack of new investments and poor existing offtake.

The company had ended Q4FY17 with 10% (YoY) rise in net profit at Rs.13 crore on a 29% increase in total income at Rs.320 crore.