The paper industry has an enormous influence on the growth of the nation’s economy, India is the world’s 15th largest paper producer. In terms of consumption, India has emerged as the fastest-growing market. India’s Paper industry is expected to grow at a CAGR of 6.63 percent by 2028.
As per INDmoney, The Indian government receives around Rs 5,000 crore plus revenue from the paper and pulp sector. In contrast, the paper industry has expanded far more than anticipated in the aftermath of the pandemic.
Here are three companies that have witnessed net profits increase by almost 900 percent, YOY;
Orient Paper and Industries Ltd:
India’s leading tissue paper manufacturer Orient Paper and Industries Ltd is engaged in the business of Paper, Electrical Consumer Durables.
The company belongs to the small-cap category with a market capitalization of Rs 906 crore. Shares were trading at Rs 41.95 a share on June 22, down 1.18 percent from the previous close price.
Revenue climbed by 61 percent year on year, rising from Rs 585 crores in FY 21-22 to Rs 942 crores in FY 22-23. From a deficit of Rs 28 crores to a profit of Rs 99 crores, net profit has increased by 450 percent.
The stock has gained by 15 percent in the last six months, from Rs 37.10 to the current price, and has returned 93.42 percent in the last year.
Kuantum Papers Ltd:
One of India’s largest fully integrated Agro-based paper manufacturers, Kuantum Papers Ltd is engaged in the manufacturing and selling of writing and printing paper
The company belongs to the small-cap category with a market capitalization of Rs 1,498 crore. Shares were trading at Rs 171.05 a share on June 22, up 0.18 percent from the previous close price.
The company’s revenue increased by 58 percent yearly, from Rs 830 crores in FY 21-22 to Rs 1,309 crores in FY 22-23. Net profit has grown by 946 percent, from Rs 13 crores to Rs 136 crores.
The stock has increased by 20.18 percent over the past six months, from Rs 142.75 to the present price, while it returned 160 percent multibagger over the past year.
Shreyans Industries Ltd:
Shreyans Industries is a multi-unit organization promoted by the Oswal Industrial group. The company manufactures writing and printing paper for both domestic and foreign markets.
The company belongs to the small-cap category with a market capitalization of Rs 310 crore. Shares were trading at Rs 220.25 a share on June 22, down 1.72 percent from the previous close price.
The company’s revenue increased by 48 percent yearly, from Rs 548 crores in FY 21-22 to Rs 865 crores in FY 22-23. Net profit has grown by 710 percent, from Rs 9 crores to Rs 73 crores.
The stock has increased by 51 percent over the past six months, from Rs 148.45 to the present price, while it returned 153 percent multibagger over the past year.
Written by Omkar C
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