Towers stand under construction in Mumbai. (Photographer: Dhiraj Singh/Bloomberg)

NBCC Reports 16% Profit Growth, Margins Remain Flat

Shares of NBCC (India) Ltd. gained after the government owned construction company posted 16.3 percent growth in profit in the June quarter.

Profit rose to Rs 47.1 crore compared to Rs 40.5 crore in the April to June period last year, according to the company’s filing to the stock exchanges.

Net sales jumped 16 percent to Rs 1,273.3 crore compared to Rs 1,091.9 crore in the year ago period.

While earnings before interest, taxes, depreciation and amortization grew 28 percent to Rs 45.8 crore compared to Rs 35.6 crore, EBITDA margins remained largely unchanged at 3.6 percent compared to 3.3 percent last year.

The company’s other operating income soared 724 percent to Rs 18.95 crore compared to Rs 2.29 crore last year. The other income component grew 8 percent to Rs 34.99 crore compared to Rs 32.28 crore in the year ago period.

The NBCC stock rose 1.2 percent to Rs 251.7 as of 9:40 a.m.