VIP Industries shares in news as profit slumps 93% in Q1

Shares of VIP Industries Ltd are in news today after the luggage maker reported a 93% fall in its consolidated net profit for the June 2024 quarter.  Net profit slipped to Rs 4 crore in the first quarter of financial year 2024-25 against a net profit of Rs 57.8 crore in the year-ago period.

Revenue from operations rose 0.4% to Rs 638.8 crore in the June quarter against Rs 636.1 crore in the corresponding period last year,

Earnings before interest, taxes, depreciation, and amortisation (EBITDA) declined 38.7% to Rs 49.4 crore in Q1 FY25 compared to Rs 80.6 crore in Q1FY24. EBITDA margins fell to 7.7% in the quarter under review as against 12.7% a year back.

The stock ended 1.20% lower at Rs 444.30 on BSE in the previous session. VIP Industries shares opened lower at Rs 448.30 against the previous close of Rs 449.70 on BSE. Total 0.39 lakh shares of the firm changed hands amounting to a turnover of Rs 1.75 crore on BSE. Market cap of VIP Industries slipped to Rs 6,307 crore.  

In terms of technicals, the relative strength index (RSI) of VIP Industries stands at 31, signaling it’s trading near the oversold zone. VIP Industries stock has a one-year beta of 0.9, indicating low volatility during the period. VIP Industries shares are trading lower than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

On the other hand, shares of VIP Industries lost 27.19% this year and fell 24% in a year.