Lumax Industries posts 25.8% profit growth but share price falls amid margin concerns

Lumax Industries’ Q2 profit rose 25.8% but its stock fell as investors worried about margin pressure from rising input costs.

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Lumax Industries posts 25.8% profit growth but share price falls amid margin concerns

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Lumax Industries posts 25.8% profit growth but share price falls amid margin concerns
Lumax Industries’ Q2 profit rose 25.
Lumax Industries reported a net profit increase of 25.8 % year-on-year for the second quarter, buoyed by strong volume trends in automotive lighting and components. However, the company’s share price declined as markets focused on potential margin pressure from rising input costs and operating leverage. 
While the topline growth was well received, investors weighed the risk of margin contraction in coming quarters. Lumax reiterated its focus on exports and cost rationalisation, but near-term margin visibility remains an area of market scrutiny.
Sentinel