The growing need for industrial explosives in the mining, quarrying, and construction sectors is expected to drive the explosives market in India to significant growth. These high-hazard blasting explosives, which typically include oxidising agents as key components, are crucial for various industrial operations.
The Indian explosives market is expected to reach US$10.5 billion by 2026, growing at a compound annual growth rate (CAGR) of 5.8 percent during 2021-2026.
Following is a list of four companies that are engaged in the business of manufacturing explosives to keep on your radar.
Solar Industries India Limited
On Friday’s trading session, the share price of one of the world’s leading manufacturers of explosives & initiating systems moved up by 2.4 percent on BSE to hit an intraday high at Rs. 9,350, compared to its previous closing price of Rs. 9,127.55.
With a market cap of Rs. 83,905 crore, the stock has delivered 138.5 percent of multibagger returns in one year and 47.4 percent of positive returns in the last six months.
In terms of financials, the consolidated revenue from operations stood at Rs. 1,610.71 crore in Q4 FY23-24, decreasing by 16.5 percent YoY from Rs. 1,928.54 crore in Q4 FY22-23, however, the net profit grew by 10 percent YoY to Rs. 242.71 crore from Rs. 220.6 crore, during the same period.
For use in defence applications, Solar Industries India Limited manufactures a complete range of industrial explosives, explosive initiating devices and high-energy materials.
The company is one of the most valued explosives companies in the world and is India’s first private sector company to setup an integrated facility for Defence products like High Energy Materials, Propellants for rockets, Warheads and Rockets.
Premier Explosives Limited
On Friday’s morning trading session, the shares of India’s first company to manufacture Explosives and Detonating fuse with Indigenous technology surged by 14.7 percent at Rs. 2,639, compared to its previous closing price of Rs. 2,299.35.
With a market cap of Rs. 2,809 crore, Premier Explosives Limited (PIL) has delivered nearly 498 percent of multibagger returns in one year and around 71 percent of positive returns in the last six months.
PIL is expanding its product portfolio of Missile Programmes for Solid propellant, Rocket motor hardware, Thermal insulations & Hot integration, Warheads, Ammonium Perchlorate, HTPB & CL20, and Pyrogen igniters.
On a year-on-year basis, the consolidated revenue from operations stood at Rs. 86.8 crore in Q4 FY23-24, increasing by around 66 percent from Rs. 52.32 crore in Q4 FY22-23, while the net profit grew by around 180 percent to Rs. 6.8 crore from Rs. 2.43 crore, during the same period.
Founded in 1980, Premier Explosives Limited is engaged in the manufacture of high energy materials like bulk explosives, packaged explosives, detonators, detonating fuse, solid propellants, pyrogen igniters, pyro devices, etc., having applications in mining, infrastructure, defence, space, homeland security and such other areas.
The company also operates and maintains solid propellant plants for defence and space establishments.
GOCL Corporation Limited
On Friday’s trading session, the share price of GOCL moved up by 4.6 percent on BSE to hit an intraday high at Rs. 402.85, compared to its previous closing price of Rs. 385.
With a market cap of Rs. 1,955.15 crore, the stock has delivered positive returns of 25.2 percent in one year, but 24.7 percent of negative returns in the last six months.
In terms of financials, the consolidated revenue from operations stood at Rs. 186 crore in Q4 FY23-24, decreasing by 23 percent YoY from Rs. 241.8 crore in Q4 FY22-23, and the net profit also fell by 64.2 percent YoY to Rs. 4.94 crore from Rs. 13.8 crore, during the same period.
Established in 1961, GOCL Corporation Limited, a Hinduja Group Company, and its wholly-owned subsidiary are primarily engaged in the business manufacturing and marketing of packaged and bulk explosives, along with blast-initiating devices.
Keltech Energies Limited
On Friday’s trading session, the share price of Keltech Energies moved up by 4.6 percent on BSE to hit an intraday high at Rs. 3,734, compared to its previous closing price of Rs. 3,569.25.
With a market cap of Rs. 370 crore, the stock has delivered 121.5 percent of multibagger returns in one year and nearly 51.6 percent of positive returns in the last six months.
On a year-on-year basis, the consolidated revenue from operations stood at Rs. 120.94 crore in Q4 FY23-24, decreasing by 23 percent from Rs. 157.1 crore in Q4 FY22-23, and the net profit also fell by around 6 percent to Rs. 6.21 crore from Rs. 6.6 crore, during the same period.
The primary business of Keltech Energies Limited is the manufacturing of industrial explosives and the sale of perlite & perlite-based products.
Written by Shivani Singh
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