return to news
  1. Upstox
    /
  2. News
    /
  3. Market News
    /
  4. Stocks
    /
  5. KEI Industries faces strike, production halts at two plants

Market News

KEI Industries faces strike, production halts at two plants

Upstox
By Upstox News Desk

2 min read | Updated on June 20, 2024, 11:07 IST

Twitter Page
Linkedin Page
Whatsapp Page

SUMMARY

KEI Industries announced that its Rakholi and Chinchpada plants have partially halted production due to a labour strike starting June 19, 2024, estimating a daily loss of ₹8 crore. The company is negotiating with labour contractors to resolve the issue. KEI clarified that its other plants remain unaffected, with all assets insured.

Stock list

KEI
--
Kei Industries says operations at two plants impacted due to strike, expects production loss per day of ₹8 crore

Kei Industries says operations at two plants impacted due to strike, expects production loss per day of ₹8 crore

KEI Industries said on Thursday that operations of its plants situated at Rakholi and Chinchpada have been partially affected due to stoppage of production, in view of a strike announced by its labour with effect from June 19, 2024. The firm also stated that the loss of production per day of strike may be around ₹8 crore.

The company said it is continuously discussing the issue with the concerned labour contractors and workers to resolve it amicably as soon as possible and will provide updates on further developments in due course.

KEI Industries clarified that all its assets are covered by insurance and that there is no strike at any of its other plants.

Shares of KEI Industries were trading 1.68% lower on Thursday and have lost over 8% in the last five days.

During the fourth quarter of fiscal year 2024, the company reported an 18.76% year-on-year (YoY) rise in its revenue at ₹2,319 crore. Earnings before interest, tax, depreciation, and amortisation (EBITDA) rose 24.34% to ₹260 crore. Net profit for the quarter rose 22.21% YoY to ₹169 crore.

The company said EBITDA margin during the quarter improved to 11.20% as against 10.70% in the same period a year ago. Similarly profit margin improved to 7.28% as against 7.07% YoY.

The firm’s pending order stood at approximately ₹3,531 crore.

For the full fiscal year 2241, the company reported an 17.31% YoY rise in its revenue at ₹8,104 crore. EBITDA rose 20.81% to ₹887 crore. Net profit for the quarter rose 21.72% YoY to ₹581 crore. EBITDA margin in FY24 improved to 10.94% as against 10.62% YoY. Net profit margin improved to 7.17% as against 6.91% YoY.

Shares of the company have risen over 36% since the beginning of the year. The stock has gained over 95% in the last one year.

About The Author

Upstox
Upstox News Desk is a team of journalists who passionately cover stock markets, economy, commodities, latest business trends, and personal finance.

Next Story