Small-cap aerospace & defense stock declined 12.5 percent which is Rs 2332.60 on Thursday after its earnings release on 08 November 2023.
MTAR Technologies‘ net revenue Rose 32.2% YoY from Rs 126.17 crores Q2FY23 to Rs 166.83 crores Q2FY24 On a QoQ basis, their revenue rose 9.4 percent from Rs 152.56 crores Q1FY24.
However, their net profit dropped 17.13 percent YoY from Rs 24.68 crores Q2FY23 to Rs 20.45 crores Q2FY24. On a sequential basis QoQ their net profit rose by 0.6 percent from Rs 20.33 crores in Q1FY24. These results indicate that the company is experiencing YOY positive in sales and negative in Net profit.
MTAR Technologies is a small-cap company with a Market capitalization of Rs 7,200 crores. It also has a return on equity (ROE) of 17.9% and a return on capital employed (ROCE) of 22.2%.
Also, the company has delivered a Net profit margin of 18.5 percent Avg for the last 3 years. The Stock is trading at 10.8 times its book value.
The promoters of MTAR hold a 39.14% stake followed by the FIIs with 8.81% and the remaining lies with the public.
Share of MTAR Technologies’ has risen by 23.87% in the last six months and 45.40% in the last year.
MTAR Technologies was founded in 1969 to provide coolant channel assemblies to the Indian government’s Department of Atomic Energy. Since then, it has developed into a globally operating precision engineering firm. It is in the business of producing vital parts for the fuel cell, aerospace, defense, and civil nuclear energy sectors.
High-profile local and international names like Nuclear Power Corp. of India, ISRO, DRDO, HAL, Rafael Advanced Defense Systems, Hitachi Zosen, and Bloom Energy are served by its staff of over 1,740 workers.
Additionally, the company has a diversified order book of Rs. 997.6 crores as of 30th Sep 2023 of orders in various sectors including Clean Energy – Civil Nuclear Power, Fuel cells and Hydel, Space, Defense, Products, and others in Q2FY24.
Written by Sriram KV
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.
