This industry-leading stock, which deals in the business of manufacturing of technology and innovation-driven polymer and composite products, surged upto 4 percent after the company plans to develop the product for Gas Distribution.
Share Price Movement
In Tuesday’s trading session, Time Technoplast‘s share price was up by 3.87 percent to the day’s high of Rs. 366.30. The stock reiterated from the day’s high and was trading at Rs. 363.95 which is 3.20 percent higher from the previous close of Rs. 352.65 per share.
In the past year, the stock has delivered a 60 percent return and has outperformed the Nifty Index.
What Happened
The company’s stock surged after Time Technoplast announced the introduction of an additional product in its existing Polyethylene (PE) pipe business. They plan to develop a product, which is pipes designed for the Gas Distribution industry for both public and private sectors.
Currently, the company serves PE pipes for sectors through EPC contractors like water irrigation, supply, sewage, desalination plants, cable ducting, power plants, and others. With its current customer portfolio of more than 20 Gas Distribution companies, they can leverage this base to sell Gas Pipes.
Benefits from this initiative
Time Technoplast is expected to improve capacity utilization with minimal adjustments to its existing manufacturing equipment and material mix. The company expects 30 percent growth in the PE pipe segment. The expected cost for Research & Development (R&D) and Capital Expenditure to be upto 8 crore and is already a part of the capex plan.
The timeline expected for this development is for the four-month period, which includes the approval process from the Bureau of Indian Standards (BIS), and benefits are expected to materialize in Q2FY26.
Financials
In its latest filing for the quarter ending December 2024, the company reported a 4.75 percent increase in revenue, reaching Rs. 1,388 crore compared to Rs. 1,325 crore in Q3FY24. During the same period, net profit increased to Rs. 102 crore in Q3FY25, compared to Rs. 93 crore in Q3FY24.
Market Share
The company has a market share of around 55 percent in the domestic market share in the industrial packaging segment, and is the largest manufacturer of large size plastic drums, followed by the 2nd largest in composite cylinders and 3rd largest in Intermediate Bulk containers internationally.
Company Profile
Time Technoplast Ltd is a multinational polymer product manufacturer with operations in 11 countries, offering innovative solutions in industrial packaging, lifestyle products, automotive components, and composite cylinders, with over 40 production facilities globally.
Written by Santhosh S
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