Quarterly Results: Bhushan Steel Ltd

Technical View: 

Bhushan Steel Ltd is currently trading at Rs 40.6, down by 0.8 points or 1.93 per cent from its previous closing of Rs 41.4 on the BSE.
The scrip opened at Rs 41.7 and has touched a high and low of Rs 42.65 and Rs 39.40, respectively. A total ofr 358282 (NSE+BSE) shares were traded on the counter. The stock is currently trading above its 50 DMA.

Standalone Results Q2FY17:

Bhushan Steel Ltd reported its Q2FY17 standalone results late during market hours.

The company’s standalone revenue for the quarter fell 14.7 per cent YoT to Rs 3,009 crore driven by a 17.9 per cent YoY decline in domestic sales.

For the recently concluded quarter, the company's EBITDA slipped 12.6 per cent YoYto Rs 487 crore, while its EBITDA margin increased 40 bps to 16.2 per cent. The operating expenses decline of 15.1 per cent YoY was the reason for this margin expansion

Continuing with its poor showing, the company reported a net loss of Rs 980 crore during Q2FY17 versus a net loss of Rs 723 crore in Q2FY16 – an increase in loss of 35.5 per cent YoY. A 17.3 per cent YoY increase in finance costs resulted in higher losses during the quarter.