The shares of the aluminum casting products gained up to 10 percent after the company entered into a Memorandum of Understanding (MoU) with Sunbeam Lightweighting Solutions and Kedaara Capital Fund II LLP.
Craftsman Automation Ltd has a market capitalization of Rs 11,204.77 crore, the shares were trading at Rs 5,303.20 per share, increasing around 9 percent as compared to the previous closing price of Rs 4,835.00 apiece.
Matter Explanation:
The shares of the company have seen bullish movement after Craftsman Automation Ltd entered into a memorandum of understanding with Sunbeam Lightweighting Solution and Kedaara Capital Fund II LLP for acquiring the whole or part of the business of Sunbeam (excluding certain specific assets of Sunbeam situated in Gurugram) in one or more tranches.
Financial Condition:-
Examining the company’s financial performance, revenue soared by 12 percent from Rs 980 crore in Q4FY23 to Rs 1,105 crore in Q4FY24, but during the same period, net profit plummeted by 11 percent from Rs 80 crore to Rs 71 crore.
Segments and Production Facilities:-
The company mainly works in India and have 13 plants all over the country. Craftsman Automation has different segments like automotive powertrain, aluminum products, and industrial and engineering. They also make things for sectors like pharmaceuticals and online shopping.
Revenue diversification by firm segment: first, the automotive powertrain segment produces approximately 51% of sales, next aluminum goods contribute 25%, and finally industrial and engineering contribute 24% of revenue.
Future Outlook:-
The organization intends to diversify across all business sectors. While the M&HCV segment continues to provide the majority of business engagements in the powertrain vertical, the company is also aiming to broaden its reach into other automotive industries.
Craftsman has taken considerable advances in the aluminum vertical to build a position in the emerging electric vehicle trend in the automotive sector. In addition, the corporation has taken significant steps to expand its industrial aluminum vertical.
Company Overview:-
Craftsman Automation Limited is a multidisciplinary engineering business headquartered in India that has vertically integrated production capabilities. It operates in three segments: automotive powertrain and others, aluminum products, and industrial and engineering.
Written by:- Abhishek Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
