Shares of this microcap company surged 12 percent in Friday’s trading session after entering into a service agreement with Wipro. In six months the shares have delivered around 11 percent returns to its shareholders.
With a market capitalisation of Rs. 22.6 crores, the shares of ITCONS E-Solutions Ltd started Friday’s trading session positively at Rs. 41.99 compared to its previous close of Rs. 40.45. During the trading session, the shares hit a high of Rs. 47.79, gaining around 12 percent and are currently trading at Rs. 45 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that it had entered into a service agreement with Wipro Limited for providing Oncall Support Services for PAN India to provide On-call services, OTB Support, Store Rollout Activities and Oncall Support Services on SLA AMC Delivery Model.
Earlier, this month the company had entered into an agreement with I3CLogic Technologies Pvt Ltd to provide recruitment services and also entered into an agreement with Aakash Educational Services Limited (Aakash BYJU’S) for providing recruitment services.
Coming onto the company’s financial statement, the revenue increased marginally by 0.2 percent from Rs. 12.75 crores during H2FY23 to Rs. 12.78 in H1FY24. On the other hand, the net profits zoomed by 15 percent from Rs. 67 lakhs to Rs. 77 lakhs during the same timeframe.
The company has well-known and reputed clients from the Information Technology, Staffing and Recruitment, Food, and FMCG space amongst others, which include MNCs as clients. Presently the Manpower Supply Services account for a majority of their revenues, and Manpower Souring Services contribute to the rest of its revenues.
Looking at the company’s important financial ratios, the return on equity stood at 24.04 percent during FY22-23 and the return on capital employed was recorded at 31.70 percent during the same period. Furthermore, the net profit margin was at 6.13 percent in FY22-23.
According to the latest shareholding pattern, the Promoters have 59.36 percent of stakes and the remaining 40.63 percent of shares are with the Retail Investors.
Headquartered in Noida, ITCONS E-Solutions was incorporated in 2007. The company is a Pan India professional staffing and recruitment company that specializes in strategic services for various industries, including Information Technology, Healthcare, Manufacturing, Oil and Gas, Engineering, Logistics or Transportation, as well as state and central government entities and Public Sector Undertakings (PSUs).
Written By Vaibhav Patil
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