VRL Logistics shares fell as much as 9.5 per cent on Tuesday after the Hubballi, Karnataka-based company reported its first ever decline in quarterly profit since listing in April 2015.
VRL Logistics' net profit declined 1.5 per cent to Rs 24.7 crore, while revenues were flat at Rs 431 crore in the December quarter.
VRL logistics shares are up 92 per cent since the issue price of Rs 205. The stock emerged as a favourite of investors on hopes of nation-wide rollout of Goods and Services Tax from April 1, 2016.
However, the stock has corrected sharply as the GST bill got stuck in Parliament. VRL logistics shares have fallen nearly 17 per cent from their high of Rs 478.7 to Rs 395 as of Monday.
Analysts say the stock may witness further correction as its growth momentum moderates. VRL Logistics had maintained a net profit CAGR (compound annual growth rate) of close to 20 per cent over last five years.
VRL Logistics shares closed 7.87 per cent lower at Rs 363.95 apiece compared to 1.15 per cent fall in the broader Sensex.
Follow NDTV for latest election news and live coverage of assembly elections 2019 in Maharashtra and Haryana.
Subscribe to our YouTube channel, like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.