GM Breweries spikes up 12 per cent on good Q3 results

After posting good Q3 results, the stock of GM Breweries was up around 12 per cent in the morning session at Rs. 1,098.00 per share, up Rs. 120.80 or 12.36 per cent on Friday. The stock has shown significant price as well as volume gains, volume rose by around 1,200 per cent compared to its 5-day moving average.

GM Breweries reported a net profit of Rs. 22.30 crore in Q3, compared to Rs. 15.73 crore and 10.20 crore in Q2 and Q1, respectively, which is a 41.77 per cent increase on a quarterly basis. This shows that the company has transitioned through the GST and highway ban hurdles experienced during the past quarters.

The company registered net sales of Rs. 119 crore compared to Rs. 97 crore, up 21 per cent at on a quarterly basis, while EBITDA was at Rs. 34 crore compared to Rs. 16 crore, up 113 per cent. The company's operating margins increased by 7.86 per cent in Q3.

The uptick in the share can also be attributed to the rally in the FMCG sector. Other liquor stocks that were trading higher include Pincon Spirit was at Rs. 37.70 per share, up 6.35 per cent, Pioneer Distilleries was at Rs. 213.00 per share, up 5.60 per cent, Radico was at Rs. 314.35, up 2.14 per cent