Reliance Naval and Engineering is amongst the top losers of the day currently. The stock lost over 4.5% at Rs.47.05 and continues to remain in the red. Its 52-week low is at Rs.33.70.

The stock is down after it really disappointing performance for Q3FY18. Its net loss in fact went up further – for current Q3, it was at Rs.166 crore v/s loss of Rs.133 crore in previous Q3. This was on account of a major fall in its topline. Net revenue for the quarter was down 56% at Rs.54 crore. The 28% increase in interest expense and other income falling from Rs.10 crore to Rs.1 crore too led to the increasing loss

On the other hand, its EBITDA rose from Rs.4 crore to Rs.10 crore and margins too showed a major expansion from 3.3% to 18.6%.

This surge in operating profit was on account of adjusting earlier provision it had made at Rs.32 crore v/s cost of Rs.41 crore (YoY). There was a 681bps decline in other expenses and this too helped the margins.