The stock at Rs710.80 up by Rs24.45 or 3.56% from its previous closing of Rs686.35 on the BSE.
Net margins at 4.72% in the Mar-21 quarter was lower than 5.27% in the Mar-20 quarter but sharply better than 0.62% in the sequential Dec-20 quarter. Net cash from operations turned around sharply to positive in FY21.
Full year revenues for FY21 were 12.98% lower at Rs1,884cr on lag effect of COVID. Power Mech operates in the construction and maintenance segment and its business took a hit during the pandemic when construction came to a standstill.
Net profits in the Mar-21 were up 13.75% to Rs35.66cr. Despite a 27% growth in sales revenues, the company could only grow profits at a lower rate due to the pressure on operating margins coming from higher input costs, steeply higher contract execution expenses and higher employee costs.