AvtoVAZ's shares gained for a second day after Russia's largest automaker returned to profit last year thanks mainly to a government-backed car scrapping program.
The stock advanced as much as 3.5 percent and traded 1.8 percent higher at 26.8 rubles by 11:51 a.m. in Moscow. Net income was 3.6 billion rubles ($129.7 million) after a loss of 49.2 billion rubles in 2009, AvtoVAZ said today in an e-mailed statement.
Revenue climbed more than 57 percent to 137.6 billion rubles, the company said.
AvtoVAZ, which makes the Lada model and is 25 percent owned by France's Renault SA, is the chief beneficiary of an ongoing government incentive scheme that rewards drivers for trading in 10-year-old cars for new models produced in Russia.
AvtoVAZ's Russia sales rose 48 percent to 517,147 units in 2010 and are up 69 percent to 121,251 units through the first quarter.