Shares of this microcap company fell around 17 percent in Thursday’s trading session after reporting a decrease in net profits by 49 percent QoQ.
With a market capitalization of Rs. 334 crores, the shares of NILE Ltd started Thursday’s trading session on a flatter note at Rs. 1,344 compared to its previous close of Rs. 1,342.10. During the trading session, the shares hit a low of Rs. 1,087, losing around 17 percent and are currently trading at Rs. 1,130 apiece.
Such a negative movement in the share price was observed after the company announced quarterly and financial year ended on 31st March 2024 results. Quarterly, the revenue decreased by 31 percent from Rs. 251.53 crores duirng the December quarter to Rs. 174.12 crores in the March quarter. On the other hand, the net profits declined by 49 percent from Rs. 11.86 crores to Rs. 6.06 crores during the same period.
Comparing the same metrics on a YoY basis, the revenue fell by 20 percent from Rs. 217 crores during Q4FY23 to Rs. 174.12 crores in Q4FY23. Further, the net profits decreased by 29 percent from Rs. 8.53 crores to Rs. 6.06 crores during the same timeframe.
The company has two 100 percent subsidiaries viz. NLCPL, which would operate a lithium-ion recycling plant, and NEPL, which would operate in the natural extracts sector and cater to the growing needs of the nutraceutical, cosmetic, and food industries.
Furthermore, the company has 2 lead recycling plants, one in Choutuppal with a capacity of 32,000 TPA, and the other in Tirupati with a capacity of 75,000 TPA.
According to the latest shareholding pattern, the Promoters hold 50.43 percent of the stake, the Public holds 49.42 percent of the shares, and the remaining 0.15 percent of the stakes are held by Foreign Institutional Investors (FIIs).
Headquartered in Hyderabad, NILE Ltd was incorporated in 1984. The company is a secondary manufacturer of Pure Lead and Lead Alloys which are supplied to the manufacturers of Lead Acid batteries, PVC stabilizers and Lead-Oxide. Apart from this, the company also deals in Power Generation through wind farms.
Written By Vaibhav Patil
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