Shares of Shree Renuka Sugars
are trading higher by over 12% on Monday after the company reported its Q2FY20 results on Sunday.
The company posted a net profit of Rs2,739cr vs. net loss of Rs432cr in the year-ago period.
The company's total income came in at Rs1,413cr during July-September of 2019-20, up from Rs1,001cr in the same period last year.
The Group's management said that it expects to generate operational cash-inflows in the next twelve months, which will support the Group to meets its near future cash obligations.
It added that the company is in the process of restructuring its non-convertible debentures and has received a letter of intent from Life Insurance Corporation of India (debenture holders) on October 11, 2018. It has now obtained approval of the shareholders for this transaction on July 19, 2019. Currently, the company is awaiting approval from the stock exchange.
SRSL said it that it has decided to continue with the existing tax structure and not take the new 22% effective rate due to carry forwards tax losses, unabsorbed depreciation, and unutilized MAT credit.
Shree Renuka Sugars Ltd is currently trading at Rs9.07 up by Rs0.99 or 12.25% from its previous closing of Rs8.08 on the BSE.
The scrip opened at Rs9.48 and has touched a high and low of Rs9.48 and Rs8.70 respectively. So far 30,93,949 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs1,548.79cr.