Shares of Clean Science and Technology Ltd. fell as much as 7% on Friday, July 18, in response to the company’s June quarter results, and management commentary on potential stake sale.For the June quarter, Clean Science’s revenue increased by 8% from the same quarter last year to ₹240 crore, while Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) increased by 5% on a year-on-year basis to ₹00 crore.
Margins for the quarter narrowed by 100 basis points to 41.7% from 42.8% last year, while net profit increased by 6% from the year-ago quarter.
Over 25% of the company’s topline came from newer launches, while the management said that there were market share gains seen by the company during this quarter.Promoters of Clean Sciences currently have a 74.97% stake in the company and are evaluating the possibility of selling a minority stake to support the family estate planning / management, the management highlighted during the earnings call.
Margins for the quarter narrowed by 100 basis points to 41.7% from 42.8% last year, while net profit increased by 6% from the year-ago quarter.
Over 25% of the company’s topline came from newer launches, while the management said that there were market share gains seen by the company during this quarter.Promoters of Clean Sciences currently have a 74.97% stake in the company and are evaluating the possibility of selling a minority stake to support the family estate planning / management, the management highlighted during the earnings call.
The management also expressed caution on the Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) growth guidance of 18% to 20% for the full year, stating that it could be between 15% to 18%, but more clarity can emerge at the end of the second quarter.
However, the management did express optimism on the second half of the current financial year, particularly for the fourth quarter.
Shares of Clean Science and Technology are trading 6.6% lower at ₹1,350. The stock is above its IPO price of ₹900 per share, and below its 52-week high of ₹1,690.
