Here’s Why Ashok Leyland Shares Have Gained 6% In Trade

Shares in Ashok Leyland have soared 6%, on the back of stellar set of quarterly numbers.

The company posted more than a six-fold increase in consolidated profit after tax (PAT) for the fourth quarter ended March 31, 2021. The stock jumped as high as 10 per cent to Rs 129.35 on the BSE, but, than retreated and was last seen trading at Rs 125 on the BSE.

Ashok Leyland is a leading player in the HCV segment and reported a good set of numbers for the period ending June 30, 2021.

The Hinduja group flagship firm has posted a consolidated profit after tax of Rs 377 crore for the fourth quarter ended March 31, 2021. The commercial vehicle major had reported a consolidated net profit of Rs 58 crore in the January-March quarter of 2019-20. Consolidated revenues during the fourth quarter of the last fiscal stood at Rs 8,142 crore, as compared to Rs 5,088 crore in the same period a year ago, Ashok Leyland said in a late-night statement on Thursday. For the entire 2020-21 fiscal, the company's consolidated loss after tax stood at Rs 70 crore. The company had reported a PAT of Rs 460 crore in FY20.

Meanwhile, the company said it has formed an environmental, social and governance (ESG) committee headed by an independent director to lead its sustainability agenda. The role of this new ESG committee will be to provide appropriate oversight and guidance in the company's journey on organisation-wide ESG initiatives, priorities, and leading the practices. "This Committee will help accelerate adoption of leading ESG practices into the business and bring added focus on being sustainable and socially responsible. "The endeavor is to create sustainable opportunities for people, businesses and communities that we work with," Ashok Leyland Chairman Dheeraj Hinduja said in a regulatory filing.

With inputs from PTI