Shares of VST Tillers Tractors Limited zoomed 13 percent today and currently trades at Rs 2,832. Year-To-Date, the stock has gained almost 21.5 percent ranging from Rs 2,330 to the current price levels.
Such a sharp movement in the stock prices today is observed after the company, through a regulatory filing over the BSE, announced its Q4 as well as Annual results for FY22-23. The company’s Board also recommended a Final dividend of Rs 25 per ordinary share (250 percent of its face value of Rs 10) for the same financial year.
VST Tillers Tractors Limited is engaged in the business of manufacturing and trading of plantation, agricultural, and horticultural machinery and components. Its product portfolio includes power tillers and tractors, binders, engines, etc. The company mainly operates in India and exports its products as well to Netherlands, Poland, Africa, and other countries.
A quick glance at the company’s financials leads us to understand that it has successfully increased the operating revenues and PAT figures on a sequential basis. Operating revenues took a shift from Rs 214 crores in Q3 v/s Rs 323 crores in Q4 and PAT numbers, during the same time horizon, moved from Rs 19 crores to Rs 40 crores exhibiting an increase of around 110 percent.
Having a YoY comparison of the metrics mentioned above, the operating revenues took a shift up from Rs 854 crores during FY1-22 to Rs 1,006 crores in FY22-23. On a contrasting note, the PAT figures moved down from Rs 99 crores to Rs 92 crores.
The profitability ratios of the company have remained low as compared to the time-series data available with the return on equity (ROE) moving from 14.59 percent in FY20-21 to 14.02 percent in FY21-22. Moreover, the return on capital employed (ROCE) took a shift from 19.47 percent to 18.88 percent.
As per the latest shareholding data available for the March quarter, promoters of the company hold a 55.57 percent stake, and Foreign Institutional Investors (FIIs) hold a 1.26 percent stake in the company.
Written by Amit Madnani
