Sheela Foam share price drops 9% on weak operational performance in Q1FY25
However, at 11:33 am, shares of Sheela Foam had fallen below the lows and were trading 3.85 per cent lower at Rs 960.20. In comparison, BSE Sensex was trading 3.04 per cent lower at 78,517.23 levels.
The decline came after the company reported weak operating performance in the second quarter of fiscal 2025 (Q1FY25).
The company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) fell 23 percent year-on-year to Rs 59.9 crore in the second quarter of financial year 2025 (Q1FY25), from Rs 77.6 crore in the same quarter last year (Q1FY24).
The margin also declined by 460 basis points (bps) to 7.4 percent in the second quarter of fiscal 2025, from 12 percent in the second quarter of fiscal 2024.
Additionally, the company saw its profit rise 7 percent year-on-year to Rs 46 crore in Q1FY25, from Rs 43.1 crore in the year-ago quarter.
Operating revenue, or topline, rose 25.5 percent year-on-year to Rs 809.8 crore in Q1FY25, from Rs 645 crore in the same quarter last year.
Sheela Foam focuses on the production of a diverse range of foam products. The company was founded in 1971 and is best known for its flagship brand, Sleepwell, which offers high-quality mattresses and sleep solutions.
Sheela Foam focuses on innovation and uses advanced technology to ensure durability and comfort. The product line goes beyond mattresses to include pillows, cushions and furniture foam, catering to both residential and commercial needs.
With a strong commitment to quality and customer satisfaction, Sheela Foam has built a strong position in the Indian market and continues to expand its reach internationally.
The market capitalization of the company is Rs 10,428.42 crore, according to the Bombay Stock Exchange (BSE). The company falls under the BSE 500 category.
The highest price of the stock in the last 52 weeks is Rs 1,297.35 while the lowest price in the last 52 weeks is Rs 856.05 per piece.
First print: Aug 05, 2024 | 11:48 AM IST