The shares of Hindustan Foods Ltd gained more than 3 per cent till the afternoon on Friday and were trading at Rs 721 levels. In the past five days, the stock has gained approximately 9 per cent while in the span of a month, the stock has rallied by more than 18 per cent.
Hindustan Foods Ltd has a diversified presence across various FMCG categories with manufacturing competencies in food and non-food, extending to Personal Care, Home Care, Food & Beverages, Leather Shoes, and Accessories.
The stock came in the news this morning after it announced that it would acquire Reckitt Benckiser Healthcare India’s pharmaceutical manufacturing facility in Baddi, Himachal Pradesh for Rs 156 crore.
The company also said that it has executed a Business Transfer Agreement (BTA) for the acquisition of the pharmaceutical plant. The transfer is expected to be completed by the second half of the calendar year 2023. The move is a part of the company’s strategy to further expand its healthcare segment.
The shares of the company have rallied significantly in the past six months, as the price has increased from Rs 346 in June around the same time to the current levels logging a multibagger return of 108 per cent.
In Q2FY23, the company reported a total revenue of Rs 661.79 Crore which was an increase of 42 per cent from the previous year’s Rs 465.7 Crore. In the previous quarter, their revenue stood at Rs 598.02 Crore.
Their net profit in the period was at Rs 18.93 Crore which was an increase of 73 per cent from Rs 10.96 Crore in Q2FY22. On a sequential basis, their net profit rose by 27 per cent from Rs 14.89 Crore.
The mid-cap company has a market capitalization of Rs 8,196 Crore. The promoters of the company hold a 64.85 per cent stake with zero shares pledged. In addition to that, Foreign Institutional Investors (FIIs) hold a 6.04 per cent stake in the company.
Written by Anoushka Roy
