Coffee Day Enterprises stock slips 9% after firm defaults on Rs 479-crore loan

Shares of Coffee Day Enterprises fell over 9% in early trade today after the firm said it has defaulted a total of Rs 479.68 crore on repayment of loans and unlisted debt securities in the quarter ended March 31, 2022. The stock opened with a loss of 9.4% at Rs 54 today against the previous close of Rs 59.60 on BSE.

At 9:28 am, the stock was trading 5.03% lower at Rs 56.60. Coffee Day Enterprises stock is trading higher than 100 day and 200 day moving averages but lower than 5 day, 20 day and 50 day moving averages.

Coffee Day Enterprises share price has gained 31.15% since the beginning of this year and zoomed 115%  during the last one year.

The company in a regulatory filing said it has defaulted on Rs 224.88 crore of repayment of loans or revolving facilities like cash credit from banks and financial institutions, along with default in interest amount for the same at Rs 5.78 crore.

Additionally, there was a default of Rs 200 crore on payments of unlisted debt securities -- non-convertible debentures and non-convertible redeemable preference shares.

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The default on the payment of interest of the debt securities was Rs 49.02 crore in the quarter.

Coffee Day Enterprises reported a 131% rise in consolidated net profit of Rs 20.47 crore for the third quarter ended on December 31, 2021 against a net loss of Rs 66.11 crore in the corresponding period of the preceding fiscal.

Sales zoomed 48.30% to Rs 183.49 crore in Q3 of last fiscal against Rs 123.73 crore sales in Q3 of FY21.

Coffee Day Enterprises is engaged in the trading of coffee beans. The company owns and operates a resort and renders consultancy services. It is also engaged in coffee business which ranges from procuring, processing and roasting of coffee beans to retailing coffee to domestic and overseas customers.