Shares of NGL Fine Chem surged more than 13% in early trading on May 16, a day after the company reported strong fourth-quarter operating results.

The pharmaceutical company’s EBIDTA for January-March was Rs 13.32 crore, up 8.56%. It was Rs 12.27 crore in the same period last year. Low raw material prices and a significant year-on-year drop in financial costs helped the company’s operating metrics.

Backed by solid operating performance, the drugmaker’s consolidated net profit also recorded a 35.8% year-on-year increase to $9.3 million in the quarter.

Shares of NGL Fine Chem tarded at Rs 1,683 on the National Stock Exchange at 10:59 am, up 9.16% from the previous close.

About 23,000 shares have changed hands on the exchange so far, compared with a one-month daily average of 5,000 shares.

However, operating income fell 12% to Rs 73.9 crore in the fourth quarter compared to the same period last year.

The company’s bottom line continued to grow in several quarters of FY23, but remained below the highs hit in FY21 and FY22, likely due to the positive impact of COVID sales.