OnMobile Global surged 15 per cent to its 52-week high of Rs 99.80 after reporting strong profit in the December quarter. The mobile value added service (VAS) provider on Thursday reported a consolidated net profit of Rs 7.4 crore against net loss of Rs 1.2 crore in the same quarter last financial year.
On Mobile’s total income increased 9 per cent year-on-year to Rs 227 crore.
Analysts say OnMobile’s strategy to restructure its business has started yielding results; the company launched a share buyback in December in a bid to increase promoter shareholding and reduce free-float.
The share buyback has been taken positively by OnMobile investors, analysts say.
Shares in OnMobile Global ended 3.86 per cent higher at Rs 90.15 apiece, outperforming the broader Nifty, which ended 0.58 per cent lower.