Century Enka Q4 Results: Aditya Birla Group stock up 20% on multi-fold profit growth

Shares of Century Enka Ltd surged more than 20% in Thursday’s trade after the Aditya Birla Group company reported a sharp improvement in fourth-quarter earnings, aided by a strong expansion in operating margins and profitability.

The stock surged 20% to hit the upper circuit at ₹540 on the NSE after the earnings announcement, emerging as one of the session’s top gainers amid strong investor reaction to the company’s sharp profit growth.

Century Enka posted a net profit of ₹39.4 crore for the March quarter, compared with ₹6.8 crore in the corresponding period last year. Revenue rose 9% year-on-year to ₹483.5 crore from ₹444 crore earlier.

Operating performance saw a substantial recovery during the quarter. EBITDA surged to ₹55.4 crore from ₹8.5 crore a year ago, while EBITDA margin expanded sharply to 11.5% from just 2% in the year-ago period.

The company’s board also recommended a dividend of ₹11 per equity share, equivalent to 110% on the face value of ₹10 each, for the financial year ended March 2026.

Alongside the earnings announcement, the company said its board approved the redesignation of Suresh Sodani as Managing Director and Chief Executive Officer, without any change in the existing terms of his appointment.

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Investors appeared encouraged by the sharp rebound in operational metrics and profitability during the quarter.

Century Enka, part of the Aditya Birla Group, manufactures nylon tyre cord fabric, nylon filament yarn and polyester filament yarn, catering primarily to the tyre and textile industries.