NIIT Learning Systems shares volatile post Q4 results, margins contract to 16.6%

Shares of NIIT Learning Systems Ltd. witnessed sharp volatility after the company reported its fourth quarter earnings on Tuesday, May 12.

The company reported a positive set of earnings across most parameters. While its net profit, revenue and earnings before interest, tax, depreciation and amortization (EBITDA) gained, its margins contracted.



The company's net profit increased 58% to ₹77 crore in the fourth quarter from ₹48.7 crore last year.

Its revenue of ₹525.2 crore was up 22% from last year's ₹430 crore.

Its EBITDA increased 8.7% to ₹87.4 crore from ₹80.4 crore in the fourth quarter last year.

The company's margins contracted to 16.6% from 18.7% in the year-ago period.

Shares of NIIT Learning Systems witnessed a sharp surge after reporting its earnings. The stock was up 16.7% from its day's low post results. It gained 7.2% to hit an intraday high of ₹321 per share, but later gave up its gains and was trading 3.5% lower at ₹288.95 apiece around 1.40 pm. It has declined 8.5% in the past month and is down 27.7% this year, so far.

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