Shares of this agrochemical stock under the ‘small-cap’ category jumped up to 4 percent on Monday after the company received a Patent from the Indian Government for twenty years. In the past month itself, the company’s stock gained close to 25 percent for its stakeholders.
With a market capitalization of Rs 1,889.97 crores, the stocks of Insecticides (India) Limited started their trading session on Monday at Rs 651 and closed at Rs 638.55. The scrip witnessed an intra-day high of Rs 656.80 exhibiting a gain of approximately 4 percent compared to the previous close of Rs 632.65 apiece.
In a recent filing with the Bombay Stock Exchange (BSE) dated 16th December 2023, the company informed about the receipt of a Patent for a “Novel Isoxazole compound” or “Salt” from the Patent office of the Government of India for twenty years from the date of filing, viz, November 29th, 2018.
During the recent financial quarters, the company’s prime indicators of business such as operating revenues as well as after-tax profits went up with the former increasing from Rs 639.95 crores during Q1FY23-24 to Rs 695.99 crores during Q2FY23-24, and, the latter, keeping the timeframe the same, rose from Rs 29.03 crores to Rs 52.95 crores.
Due to increased cost pressure, the company’s annual profitability ratios took a hit with the return on equity (RoE) reducing from 12.71 percent during FY21-22 to 7.07 percent during FY22-23 and the return on capital employed (RoCE), keeping the timeframe the same, slipped from 16.13 percent to 9.75 percent.
As per the recent presentations published, the company, during Q2Y24, received a patent pertaining to “Novel Amide Compound” for twenty years from September 14th, 2017. In addition, the company launched a set of new products, i.e., insecticides for paddy fields and vegetable crops, herbicides for sugarcane, and many more.
Insecticides (India) Limited is an agrochemical company that is involved in the business of formulating and manufacturing pesticides. Deriving a majority of revenue from India, the company’s product portfolio includes household, agro, reference standards, and Impurities for pesticides.
Written by Amit Madnani
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