EKI Energy Services Ltd shares surged over 4% to Rs 12,348.00 on the BSE at 11:00 am after reporting strong quarterly results.

The company recorded a net profit of Rs 161.21 crore for the quarter ending December 2021. The corporation did not disclose a financial statistic for the preceding quarter.

Also Read| PNB Housing Finance hit 5% lower circuit after reporting 19% drop in Q3 net profit

However, the company declared a net profit of Rs 81.25 crore for the quarter ended September 30, 2021. Its total revenue for the quarter ended December 2021 was Rs 688.52 crore.

EKI Energy Services Ltd (EKI Energy) is an industry leader in carbon credit development and distribution.

Also Read| HUL shares rise over 1% after reporting 16% YoY increase in Q3 result

The company stated that it maintained its robust growth rate and achieved total revenues of Rs 1,325 crores in the first nine months of the fiscal year 2021-22.

In the first nine months of the current fiscal year (April to December 2021), its net profit, or profit after tax (PAT), was Rs 278 crore with margins, compared to Rs 19 crore in the previous fiscal year.

Also Read| Bajaj Finserv shares slip over 3% after reporting 3% decline in Q3 net profit

Manish Dabkara, CMD and CEO, EKI Energy Services Ltd. said, “We are truly delighted to report that we have continued our outstanding performance in Q3 FY2022 as well with revenue from operations for the 9M FY2022 at Rs. 1,325 Cr, up from Rs. 637 Cr in H1 FY2022. Robust business growth has been supported by higher demand and increasing carbon credits prices along with changing climate-related regulations, increasing awareness of GHG emissions reduction and carbon neutrality pledges by corporates. During the 9M FY2022, our EBITDA and PAT margins almost doubled from FY2021 levels to 27.9% and 21.0% respectively.”

Also Read| Havells India shares slip nearly 2% after reporting 12% dip in Q3 net profit

According to the company, carbon credit demand and pricing have grown as a result of changing climate control policies, increasing awareness of GHG emissions reduction, carbon neutrality promises, and a widening carbon credit demand-supply imbalance.

Also Read| Sensex dips nearly 700 points while Nifty trades below 17,600 in early trade

EKI Energy has also forged a partnership with Shell Overseas Investments BV (a subsidiary of Fortune 5 company Royal Dutch Shell plc) to work on reducing carbon emissions in India using natural solutions. Enking International FZCO, the corporation’s wholly-owned subsidiary, was established in the Dubai free zone to increase the company’s offshore reach.