Q2 results impact: 2 Vedanta stocks rally up to 14% after Sept quarter earnings. How have they performed since demerger?
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Shares of Vedanta Power and Vedanta Oil and Gas surged up to 14% on Friday after the two demerged Vedanta Group companies’ results for the July-September quarter of the ongoing financial year impressed the market.Vedanta Power shares rallied more than 10% to trade at Rs 31.8 apiece on NSE on Friday morning, while Vedanta Oil and Gas shares jumped 13.5% to trade at Rs 31.62 apiece. The two companies, along with Vedanta Aluminium Metal and Vedanta Iron and Steel, were spun off from the parent Vedanta and listed on stock exchanges separately in June this year.Vedanta Power Q2 earningsVedanta Power reported a net profit of Rs 83 crore for the second quarter of FY27, marking a sharp turnaround from the net loss of Rs 1,688 crore reported in the same period last year and Rs 423 crore in the first quarter of FY27.The company’s revenue from operations meanwhile increased 38% year-on-year (YoY) to Rs 2,908 crore during the quarter under review, up from Rs 2,104 crore in the corresponding quarter of the previous financial year. It reported its highest-ever quarterly performance, with earnings before interest, taxes, depreciation and amortisation (EBITDA) soaring 122% YoY to Rs 421 crore. Profit after tax before exceptional items jumped 171% to Rs 101 crore.Also read | Vedanta Power Q2 results: Company swings to profit at Rs 83 crore; revenue rises 38% YoYVedanta Power share priceVedanta Power shares were listed at Rs 41.80 apiece on NSE on June 15 after the mega demerger. The small-cap company’s market capitalisation at the time of market debut stood at Rs 16,149.90 crore.After hitting a record high of nearly Rs 50 apiece in early July, the stock plunged sharply, nearly halving to hit a record low of Rs 27.50 apiece earlier this week. The stock has regained strength today, trading at Rs 31.8 apiece. It, however, still remains more than 24% lower than its listing price.Vedanta Oil and Gas Q2 earningsVedanta Oil and Gas reported a consolidated net profit of Rs 746 crore for the second quarter of FY27, marking a sharp improvement from the Rs 91 crore net loss reported in the year-ago period. It declined from Rs 945 crore net profit reported in the first quarter of FY27.The company’s revenue from operations increased a little over 6% YoY to Rs 2,488 crore during the quarter under review, from Rs 2,342 crore reported in the year-ago period. EBITDA meanwhile jumped 34% YoY to Rs 1,393 crore, which the company said reflects higher price realisations and a continued focus on cost optimisation. Also read | Vedanta plans $200 million push to lift Rajasthan oil outputVedanta Oil and Gas share priceVedanta Oil and Gas shares listed on NSE at Rs 38 apiece on June 15. The company’s market capitalisation at the time of debut stood at Rs 14,859.47 crore. The stock has faced a sharp downturn since listing, falling to a record low of Rs 26.41 apiece last week, nearly half of the record high of Rs 47.60 apiece it hit in early July.After the Q2 earnings, the shares of the company today crossed the Rs 30 mark for the first time in nearly two weeks.Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.
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