Century Textiles gains over 5% on issuing ₹400-crore corporate guarantee to Hindalco for land deal

Century Textiles and Industries informed the exchanges on September 4 that it has issued a Corporate Guarantee of up to ₹400 crore in favour of Hindalco. The guarantee is for Ekamaya Properties' acquisition of a land parcel situated at Kalwa in Thane from Hindalco Industries.

Ekamaya Properties is a wholly-owned subsidiary of Birla Estates, which in turn is a wholly-owned subsidiary of Century Textiles. Century Textiles will pay this amount in multiple tranches over a period of time.

Earlier on August 30, Century Textiles and Industries informed the exchanges that Birla Estates signed an agreement with the Lotus Greens Constructions Private Limited (LGCPL) group to co-develop a 131-acre land parcel in Sector 150, Noida.

The company said that the proposed development will be situated within the Integrated Sports City and will feature a 50-plus acre golf course along with international standard sports facilities.

The company mentioned in the release that the location of the land parcel is close to the Noida-Greater Noida Expressway and the Yamuna Expressway, providing easy access to Delhi, Noida and Greater Noida.

Century Textiles and Industries’ consolidated total income for Q1FY25 increased over 29% to ₹1,167.59 crore compared to ₹900.7 crore in the corresponding quarter of the preceding fiscal. Sequentially, the company’s total income decreased more than 31% from ₹1,699.7 crore in Q4FY24.

Its net profit stood at ₹17.35 crore in the June quarter of FY25 against a net loss of ₹7.06 crore in the year-ago period. The company’s net profit for the June quarter decreased nearly 16% from ₹20.64 crore in the March quarter.

Century Textiles and Industries shares are trading at ₹2,407 apiece, up 3.55% on the NSE at 1:45 pm.