A micro-cap stock hit the 5% upper circuit limit after securing approval from Government of Punjab’s Department of Industries & Commerce for a new manufacturing unit under the government’s ‘Make in India’ initiative. This move is expected to strengthen the company’s production capabilities and contribute to the growth of domestic manufacturing.
Price Movement
During Tuesday’s trading session, share price of Nureca Ltd reached an intraday high of Rs.259.80 per share, hitting 5 percent upper circuit from the previous close of Rs.247.45 per share. The shares have retreated since then and currently trading at Rs.250.00 apiece. Over the past month, the stock has delivered over 10 percent returns.
What Happened
Nureca Limited has received formal approval from the Government of Punjab, Department of Industries & Commerce (Invest Punjab), to establish a new manufacturing facility in Village Sundra, Sub-Tehsil Zirakpur, District SAS Nagar, Punjab. This new unit will focus on the production of health and wellness equipment, further enhancing Nureca’s domestic manufacturing capabilities while supporting the government’s ‘Make in India’ initiative.
The project has been approved under the Industrial and Business Development Policy (IBDP) 2022, making the company eligible for various state government incentives offered under this policy. This strategic expansion is in line with Nureca’s commitment to innovation, operational excellence, and long-term value creation for its stakeholders.
Business and Products
Nureca primarily operates through online channels, including e-commerce platforms, distributors, retailers, and its website. Its flagship brand, Dr Trust, is widely recognized in the home healthcare segment. The company also markets other brands such as Dr Physio and Trumom. Nureca’s product portfolio features USFDA-approved medical devices and wellness gadgets designed to support health monitoring and management at home.
Earnings Report
According to its recent financial updates, Nureca Ltd reported remarkable consolidated revenue of Rs.26.46 crores in Q3 FY25, marking a 57 percent increase from Rs.22.37 crores in Q3 FY24. However, the company saw a significant drop in profits, reporting net losses of Rs.2.80 crores, compared to profits Rs.0.17 crores in the same period last year.
Ratio Analysis
Nureca has a market capitalization of Rs.247.45 crore and carries a modest debt of Rs.5.31 crore. The company maintains strong financial stability, reflected in a high current ratio of 13.61 and a low debt-to-equity ratio of 0.03. Additionally, it trades at an EV-to-Sales multiple of 2.29 and a price-to-book value of 1.32.
Written by – Siddesh S Raskar
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