USL spurts 5% on threefold jump in Q3 net profit

NEW DELHI: Shares of United Spirits shot up over 5 per cent in Monday’s trade after the company reported an over threefold jump in standalone net profit at Rs 147.70 crore for the third quarter ended December 31, 2016.

The rise in profit was on account of lower finance costs and no exceptional expense compared with Rs 42.12 crore exceptional costs incurred in the same quarter last year. The company had reported a net profit of Rs 37.23 crore for the December quarter last fiscal.

Following the announcement, the liquor firm stock climbed 5.14 per cent to hit a high of Rs 2,185 on BSE. The company said its net sales for the third quarter rose 3 per cent, hurt mainly by demonetisation.

Earnings before interest, tax, depreciation and amortization (EBITDA) rose 10 per cent on a year-on-year basis to Rs 294 crore. Finance cost for the quarter dropped to Rs 92.23 crore from Rs107.66 crore reported for the year-ago quarter.