Visaka Industries

VISAKA Industries has been gaining ground on bourses. It has gained around 12% in the last one week. The reason lies in the company’s June quarter PAT of nearly Rs 15 crore. The company posted the highest-ever profit due to higher realisations from Asbestos Cement (AC) sheets. Up to 2007-08, the company had been selling AC sheets at around Rs 85-90 per metre and its profits were impacted due to higher excise duty and higher input costs. However, from January 2008 onwards, the demand for AC sheets picked up sharply. As a result, the company was able to pass on increased cost inputs, and expand its profit margins as selling price of AC sheets shot up to Rs 125-130 per metre. The stock price closed at Rs 73, up 1% from the previous close.

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