Shares of Praj Industries Ltd rose 7% in morning trade on May 26, a day after the process solutions company posted a profit after tax (PAT) of Rs 88.12 crore in the third quarter of FY23, 53% up from a year earlier.

In a filing with the BSE on May 25, the company said that its operating income stood at Rs 1,003.98 crore, up 21% from Rs 830.96 crore in the same period last year.

Its operating EBITDA rose 38.8% year-on-year to Rs 108.3 crore, while its EBITDA margin expanded 140 basis points year-on-year to 10.79%. The order book for the quarter stood at Rs 1,038 crore.

The board has proposed a final dividend of Rs 4.50 per equity share for FY23.

In a separate filing with the BSE, the company said its board approved in principle a joint venture (JV) with Indian Oil Corporation (IOCL) to produce various biofuels. The production of sustainable aviation fuel (SAF) is likely to be the first project of the joint venture.

CEO and managing director Shishir Joshipura said the energy transition and climate action agenda has opened up new opportunities for Praj Industries’ engineering business.

“The expansion of mobility solutions beyond terrestrial mobility, including SAF, is expanding the scope of opportunities for our business. We are confident in meeting the expectations of all stakeholders as we move forward on our sustainable growth path,” he said.

Praj Industries traded 6.07% higher at Rs 378.80 on the NSE at 10:45 am.