MRF skids & falls

MRF has been among the top five losers on the BSE since the opening bell today as the performance for the Sept quarter came in way below expectations of most analysts.

The stock price tumbled down 9.5% to Rs.86,010, not too far from its 10% LC of the day at Rs.85,425.95. Its 52-week low is at Rs.62,944.50.

Hurt by higher costs and inferior product mix, the company posted a 54% (YoY) plunge in consolidated net profit at Rs.189 crore on a revenue from operations at Rs.4908 crore, up 16%.

Raw material costs rose 8% to Rs.4113 crore, which is 72% of the total revenue earned.

The Board recommended an interim dividend of Rs 3 per share.

The board has also approved raising the size of its proposed non-convertible debentures (NCDs) through private placement to Rs 150 crore from Rs 100 crore. This proposal was approved earlier by its board on August 9.