The shares of this small-cap company have fallen 2 percent after the promoter of the company offloaded its entire 23,90,503 equity shares via a Bulk deal.
With a market capitalization of Rs 9,852 Cr, The shares of Sapphire Foods India Ltd were trading around at Rs 1,616.10 per share, decreasing around 1.56 percent as compared to the previous closing price of Rs 1,641.45 apiece.
Reason for fall:-
As of June 2024, Arinjaya (Mauritius) Ltd, a promoter of SFIL, holds 23,90,503 equity shares which is equivalent to 3.75 percent of the company, however, he offloaded its entire equity share at an average price of Rs 1,649.94 per share.
Meanwhile, Kotak Mahindra Mutual Fund has bought 5,99,250 equity shares which represent a 0.94% stake in the company at an average price of Rs 1,650 per share.
Financial Performance:-
Looking forward to the company’s financial performance, revenue jumped by 10 percent from Rs 654.38 crore in Q4FY23 to Rs 718.29 crore in Q4FY24, during the same period, net profit also plummeted 67 percent from Rs 24.87 crore to Rs 8.19 crore.
Footprint:-
Sapphire Foods Limited owns 872 restaurants in India, Sri Lanka, and the Maldives, including 431 KFC restaurants, 432 Pizza Hut restaurants, and 9 Taco Bell restaurants.
Ratio analysis:-
Examining the company’s crucial ratio, return on equity declined from 17.60 percent in FY22-23 to 4.13 percent in FY23-24, while during the same time frame return on capital employed also declined from 8.85 percent to 7.11 percent. In contrast, the net profit margin (NPM) stands at 2.27 percent in fiscal year 23-24.
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Company Profile:-
Sapphire Foods India Limited is an Indian firm that operates fast-service restaurants and casual dining. The company operates Yum Brands franchises in India, Sri Lanka, and the Maldives. Its operating brands include KFC, Pizza Hut, and Taco Bell.
Written by:- Abhishek Singh
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