On Tuesday’s trading session, the share price of a pioneer in low voltage and telecom cables in India jumped by 5 percent on BSE to Rs. 427.15, after securing an order of Rs. 177.83 crore from Top EPC Companies under Revamped Distribution Sector Scheme (RDSS Scheme).
With a market capitalisation of Rs. 363.61 crore, at 10:31 a.m., the shares of Delton Cables Limited were trading in the green at Rs. 420.85, up by 3.44 percent.
According to the latest regulatory filings on the BSE, Delton Cable received an order worth Rs. 177.83 crore from Top EPC Companies under the Revamped Distribution Sector Scheme (RDSS Scheme) for the supply of power cables.
The order received by the company for the supply of power cables from the domestic entity is said to be executed over a period of 2 years.
In the coming future, Delton Cables expects to maximise asset utilisation through sweating assets and focuses on installing top-tier machinery in leased facilities for enhanced productivity, focusing on an OPEX model instead of a CAPEX-heavy one.
By CY2028, the company anticipates increasing its market size by 9.7 percent CAGR to US$27.8 billion, as against US$14.6 billion in CY2021.
In terms of financials, the company’s revenue from operations increased by 64 percent YoY from Rs. 81.1 crore in Q4 FY22-23 to Rs. 133.1 crore in Q4 FY23-24, accompanied by an increase in the net profit to Rs. 6.3 crore from a loss of Rs. 4.3 crore, during the same period.
On a year-on-year basis, the Earnings Before Interest, Taxes, Depreciation, and Amortisation, or EBITDA increased from Rs. 3.8 crore in Q4 FY22-23 to Rs. 9.2 crore in Q4 FY23-24, representing a growth of 145 percent.
The stock has delivered around 464.7 percent of multibagger returns in one year, and nearly 67.8 percent of positive returns in the last six months.
Established in 1948, Delton Cables Limited is engaged in the business of manufacturing and supplying wires, cables, switchgears and ancillary activities including trading. It is a prime supplier to the Power, Telecommunication, Railways, Steel and Mining sectors in India as well as overseas.
The company is one of the leading cables and wires company and the pioneer in low voltage and telecom cables in India, and has currently transformed into a customised branded supplier to high growth sectors such as Railways, EPC and Telecom.
Written by Shivani Singh
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