Synopsis
On March 24, Ajmera Realty shares fell by 2.8% despite a robust market rally in Indian stock indices. Weak Q3 results have heavily impacted investor sentiment, revealing a decline in profits and revenues. The company's stock performance raises concerns, contrasting with the overall market's upward trend.Key Takeaways
- Ajmera Realty shares dropped 2.8%.
- Market rally continued for the sixth session.
- Q3 FY25 results were below expectations.
- Investor confidence remains weak.
- Stock price significantly lower than 52-week high.
Mumbai, March 24 (NationPress) Despite a continuous strong upward trend in the Indian stock markets for the sixth day in a row on Monday, Ajmera Realty & Infra India Limited saw a decline of 2.8 percent as disappointing Q3 results weighed heavily on investor sentiment.
The stock concluded at Rs 932.05 per share, down Rs 26.70, after starting at Rs 963.05 on the National Stock Exchange (NSE).
During trading, it reached a peak of Rs 984.25 and a low of Rs 931.05.
This decline in Ajmera Realty’s stock price occurred amidst a broader market surge, with the Sensex climbing 1,078.87 points or 1.40 percent to finish at 77,984.38, and the Nifty rising 307.95 points or 1.32 percent to close at 23,658.35.
Investor confidence in Ajmera Realty remained low, as the company's financial results for Q3 FY25 did not meet expectations, according to market analysts.
The company's net profit fell to Rs 33.89 crore in Q3, down from Rs 35.35 crore in Q2 FY25. Revenue from operations also decreased by 3.54 percent to Rs 192.88 crore from Rs 199.96 crore in the previous quarter, marking a 6.67 percent decline from Rs 206.67 crore in Q3 FY24.
The total income for the company dropped by 2.46 percent to Rs 199.09 crore quarter-on-quarter (QoQ) and was down by 4.55 percent compared to Rs 208.59 crore in Q3 FY24.
Ajmera Realty shares remain significantly lower than their 52-week high of Rs 1,224.90, though they are still above the 52-week low of Rs 555.65.
In Q2 FY25, the company reported a 57 percent increase in consolidated net profit at Rs 35.35 crore, compared to Rs 22.53 crore in the same quarter last year.
However, the latest quarterly results have raised concerns among investors, resulting in the recent decline in stock price despite the ongoing stock market surge.
Both domestic equity markets are maintaining their robust upward trajectory, fueled by optimism regarding a potential rate cut from the Reserve Bank of India (RBI), significant buying from both domestic and foreign investors, and a favorable economic outlook from global analysts.
