Cummins sizzles post Q3 earnings, stock up 7%

Shares of capital goods major Cummins jumped more than 7 per cent in intraday trade post reporting a strong set of quarterly results. Cummins India has reported 11.3 per cent jump in net profit at Rs 198.1 crore in the quarter ended December 2016 versus Rs 178 crore, in the same quarter of previous fiscal year.

The total revenues from operations for the quarter ended December 31, 2016 were the highest ever at Rs 1,422 crore, which increased 18 per cent as compared to Rs 1,202 crores recorded in the same period last year.

The company's earnings before interest, tax, depreciation and amortisation (EBITDA) was up by 31.1 per cent at Rs 226.5 crore which helped augment EBITDA margin which was up by 160 bps to 15.6 per cent. The net profit before tax at Rs 245 crore increased 18 per cent as compared to Rs 207 crore recorded in the same period last year.

The stock has aptly reflected the financial performance of the company as it delivered a return of more than 10 per cent in the last one month.

Shares were trading at Rs 900.55, up 6.01 per cent on NSE.