The company, known for its presence in the defence and aerospace sector, witnessed a strong surge in its stock price after securing a significant new order. Its subsidiary has bagged domestic contract from BrahMos Aerospace to manufacture composite parts, sparking investor optimism in the counter.
Jaykay Enterprises Limited’s stock, with a market capitalisation of Rs. 2,515 crores, rose to Rs. 193.05, hitting the intraday upper circuit, up 20 percent from its previous closing price of Rs. 160.90. Furthermore, the stock over the past year has given a return of 110 percent
Order Update
Jaykay Enterprises Limited, through its step-down subsidiary Allen Reinforced Plastics Limited (formerly Allen Reinforced Plastics Private Limited), has received a major order from BrahMos Aerospace Private Limited. The order is worth around Rs. 94.45 crores (including GST) and relates to the manufacturing of composite parts for BrahMos Aerospace.
The contract is domestic and will be carried out according to the terms and conditions specified by BrahMos Aerospace. Allen Reinforced Plastics will use its expertise to produce these composite parts, helping BrahMos Aerospace with its requirements. This development is significant for Jaykay Enterprises and shows their capability to secure large and important manufacturing contracts in the defense sector.
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Q1 Financial Highlight
The company reported a strong revenue jump in Q1FY26 at Rs. 55 crore, rising 223% YoY from Rs. 17 crore in Q1FY25 and 400% QoQ from Rs. 11 crore in Q4FY25. Profit also surged 200% to Rs. 20 crore in Q1FY26, compared to Rs. 5 crore a year ago and a loss of Rs. 4 crore in the previous quarter, reflecting a sharp turnaround in performance.
Despite this strong quarterly growth, the longer-term trend shows mixed signals. Over the last three years, sales have compounded at 96% CAGR, but profit CAGR remains negative at -24%, while ROE has inched up modestly at 2% CAGR. This indicates rapid topline expansion, although earnings consistency and return metrics lag behind.
Written By Fazal Ul Vahab C H
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