Vesuvius India Ltd (VIL) shares surged 20% to a 52-week high of Rs 2,267.25 on May 16 as investors cheered strong quarterly earnings.

Shares of the company were trading at Rs 2,211.85 at 9:40 am, up Rs 322.45, or 17.07%. The stock has risen nearly 40% this year and soared 127% over the past year.

Operating income in the March quarter was Rs 365.1 crore compared to Rs 310.12 crore a year earlier. Net profit surged to Rs 43.35 crore from Rs 23.63 crore reported a year ago.

Operating margin expanded to 14.46% in the current quarter from 10.24% in the March 2022 quarter.

Under management’s guidance, VIL has done an excellent job controlling costs and squeezing healthy EBITDA margins. In an update, Monarch Networth Capital said that VIL’s revenue growth outlook remains strong with launching new product lines (monolithic and powder powders) and expanding existing capacity.

VIL, a subsidiary of Vesuvius Group UK, is one of the leading metal flow engineering companies. The company supplies the steel industry and other process industries with high-performance refractory materials used to line vessels such as blast furnaces, ladles and tundishes, enabling them to withstand high temperatures or corrosion. The company holds about 11% market share in the Indian refractories industry.