May 29, 2024
New Delhi, India
Q4 Financial Performance Boosts Amara Raja Energy Shares
Amara Raja Energy Ltd, formerly known as Amara Raja Batteries, reported a significant 61.4% year-on-year (YoY) increase in net profit for Q4 FY24. The company’s net profit rose to ₹229.8 crore, up from ₹142 crore in the corresponding quarter of the previous year. This strong performance was reflected in the company’s stock, which closed at ₹1,246.45 on the BSE, up 2.21%.
Revenue and Profit Growth
Revenue:
- Amara Raja Energy reported a 19.5% increase in revenue from operations, reaching ₹2,908 crore, compared to ₹2,433.2 crore in the same period last year.
EBITDA:
- The company’s EBITDA rose by 16.2% to ₹410.4 crore, up from ₹353.2 crore in Q4 FY23.
- The EBITDA margin for the quarter was 14.1%, slightly lower than the 14.5% recorded in the previous fiscal year.
Dividend Announcement
The board of Amara Raja Energy has recommended a final dividend of ₹5.10 per equity share, which represents a 510% payout of ₹1 each fully paid up for the financial year 2023-24. This proposed final dividend is subject to shareholder approval at the company’s 39th Annual General Meeting (AGM). If approved, the dividend will be paid within 30 days of the AGM.
This final dividend is in addition to the interim dividend of ₹4.80 per equity share (480%) declared on October 31, 2023.
Market Reaction
The announcement of strong Q4 results and the generous dividend boosted investor confidence, leading to a 2.21% rise in the company’s share price. Shares of Amara Raja Energy closed at ₹1,246.45, up ₹26.90 on the BSE, following the release of the results after market hours.
Conclusion
Amara Raja Energy’s robust Q4 performance, marked by significant profit and revenue growth, alongside a substantial dividend payout, has positively impacted its share price. The company’s strong financial health and shareholder-friendly approach bode well for its future outlook.
Disclaimer:
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