JK Paper rallies as Q1 net profit rose to Rs 16.78 crore

NEW DELHI: JK Paper Ltd rallied as much as 10.1 per cent in trade on Tuesday, a day after the company reported standalone net profit of Rs
16.78 crore for the first quarter ended June 30, 2015-16 on increased productivity and effective utilisation of raw materials.

The stock ended the day 5.18 per cent higher or Rs 2.20 at Rs 44.70.

It had posted a net loss of Rs 22.53 crore for the April- June period of previous fiscal, 2014-15, JK Paper said in a statement.

The company's standalone net sales stood at Rs 682.73 crore in the first quarter of the current fiscal as against Rs 573.88 crore in the year-ago period.

Meanwhile, in a separate filing JK Paper informed the BSE that its board in meeting held today approved to "issue of 1,19,10,000 Equity Shares of Rs 10/- each at a price of Rs 42/- per share" to the promoter and one or more constituents of the promoter Group on preferential basis.