Shares of this speciality chemicals manufacturing company jumped up to 3 percent after receiving a letter of intent worth Rs. 507 crores from a Japanese firm. The shares have delivered more than 40 percent returns to their shareholders on a YTD basis.
With a market capitalization of Rs. 10,792 crores, the shares of Anupam Rasayan India Ltd started Tuesday’s trading session on a higher note at Rs. 1,002.05 compared to its previous close of Rs. 1,008.50. The shares hit a high of Rs. 1,036.35, gaining around 3 percent and currently trading at Rs. 1,005.95 apiece.
Such a positive movement in the share price was observed after the company in an exchange filing announced that they had signed a Letter of Intent worth revenue of 61 million dollars i.e., Rs. 507 crores for the next 9 years to supply new age polymer intermediate with one of the leading Japanese Chemical company.
The supply will commence in CY2024 and this product will be manufactured in the company’s existing and new multipurpose manufacturing facilities.
Coming onto the company’s financial statement, the revenue increased marginally by 2 percent from Rs. 386 crores in the June quarter to Rs. 392 crores during the September quarter. On a contrasting note, the net profits declined by 5 percent from Rs. 52 crores to Rs. 49 crores during the same timeframe.
The company has a total order book of Rs. 7,669 crores and has incurred a capex of Rs. 233.5 crores till Q2FY24 out of the Rs. 670 crores announced, with the majority of the capex to be incurred in FY24.
The company gets revenue from multiple sources, primarily from agro which contributes 70 percent of the revenue, 17 percent of the revenue comes from personal care, 3 percent from pharma and the remaining 10 percent of the revenue is contributed from other speciality chemicals.
Heaqurarted in Ahmedabad, Anupam Rasayan India was incorporated in 2003. The company is engaged in manufacturing speciality chemicals, which are sold in local as well as exported to other countries.
Written By Vaibhav Patil
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