Shares of this microcap company jumped upto 4 percent in Tuesday’s trading session after receiving an order worth Rs. 150 crores for the supply of sugar. The shares have delivered a multibagger return of 133 percent to its shareholders in one year.
With a market capitalization of Rs. 904 crores, the shares of Sakuma Exports Ltd started Tuesday’s trading session on a flatter note at Rs. 28.90 compared to its previous close of Rs. 28.20. During the trading session, the shares hit a high of Rs. 29.65, gaining around 4 percent and are currently trading at Rs. 28 apiece.
Such a positive movement in the share price was observed after the company in an exchange filing announced that they had entered into a significant contract amounting to approximately Rs.150 crores for the supply of sugar to the North East, West Bengal, and Bihar regions.
Furthermore, the company is actively pursuing similar opportunities in northern India, aiming to expand its operations and capitalize on growing demand in the region.
Coming onto the company’s financial statements, the revenue zoomed by 115 percent from Rs. 361.57 crores during the September quarter to Rs. 779.07 crores in the December quarter. In addition, the net profits magnified by 136 percent from Rs. 2.73 crores to Rs. 6.45 crores during the same period.
Earlier, Sakuma Exports had signed an agreement with Raigon Sugar and Power Ltd for the entire production of 3 crores litres annually for ethanol and its related products for the period of 3 years. Moreover, the company enjoys a strong position in sugar exports from India with a market share of 10 percent in volume terms.
Due to increasing expenditure, the profitability metrics of the company declined with the return on equity (RoE) decreasing from 7.52 percent during FY 21-22 to 6.39 percent in FY 22-23, and, the return on capital employed (RoCE) showed a downward movement from 9.16 percent to 9.06 percent during the same timeframe.
According to the latest shareholding pattern, the Promoters maintain a substantial ownership interest, holding 61.87 percent of the total shares. Foreign Institutional Investors (FIIs) have a minor stake of 0.21 percent in the company. The bulk of the remaining shares, totalling 37.92 percent, are held by Retail Investors.
Headquartered in Mumbai, Sakuma Exports was incorporated in 2005. The company is engaged in Buying, Processing, Marketing, and Exporting bulk agricultural commodities like Sugar, Edible Oils, Oil Seeds, Pulses, Cotton, etc. It also offers innovative financial structured products linked to physical commodities.
Written By Vaibhav Patil
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