Nile Ltd Shares Surge 10% as Q3 Profit Rockets 48%

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AuthorVihaan Mehta|Published at:
Nile Ltd Shares Surge 10% as Q3 Profit Rockets 48%
Overview

Nile Ltd shares surged over 10% after the company posted a strong Q3 FY25 performance. Net profit jumped 47.5% year-on-year to ₹15 crore, driven by a 25.3% increase in revenue to ₹291.4 crore. Improved EBITDA margins also contributed to the market's positive reaction, overshadowing a separate announcement regarding the suspension of windmill operations.

Nile Ltd, an industrial metals company, reported stellar financial results for the third quarter of fiscal year 2025, prompting a significant rally in its stock price. The company's net profit for the December quarter leaped 47.5% to ₹15 crore, a substantial increase from the ₹10 crore posted in the same period last year. This profit surge was underpinned by robust revenue growth, which climbed 25.3% to ₹291.4 crore from ₹232.5 crore previously, signaling strong demand and business momentum.### Operational Efficiency Boosts Performance
The company's operational metrics also showed considerable improvement. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) rose by 32.4% year-on-year to ₹21.3 crore, up from ₹16 crore in the corresponding quarter of the prior fiscal year. Crucially, the EBITDA margin expanded to 7.3% from 6.9% a year earlier, reflecting enhanced cost management and greater operational efficiencies. These positive financial indicators directly translated into market enthusiasm, with Nile Ltd's shares climbing to an intraday high of ₹1,798, ultimately trading approximately 10.87% higher during the session.

Windmill Operations Halted

In a separate disclosure, Nile Ltd informed regulatory exchanges that it has temporarily suspended its windmill operations. This move follows the expiration of its power purchase agreement with Transmission Corporation of Andhra Pradesh Limited. The company stressed that this suspension is confined to its renewable energy segment and does not impact its core industrial metals manufacturing business, aiming to reassure investors about the stability of its primary operations.

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