The company that is engaged in the business of designing, developing, and maintaining wireless and satellite communication products gained nearly 2 percent on Tuesday after it received an order worth ₹4.26 crore from warships and submarine manufacturer.
Avantel Limited is a Small cap company with a market capitalization of ₹2,674 crore. At 11:25 a.m., the company shares were trading at ₹110.45 a share, an increase of 0.59 percent from the previous closing price on the stock exchange.
As per the company’s exchange filing, the company has received a Purchase Order worth of ₹4.26 Crores from Mazagon Dock Shipbuilders Limited.
On May 7th, the company received a Purchase Order worth of ₹2.29 Crores from Bharat Electronics Limited.
Recently,the company also received a supply order worth ₹1.84 Crores from Headquarters Naval Aviation, Goa. The order is to be executed within one year. However, the filing does not specify the components of the supply order.
Avantel Limited specializes in designing, developing, and maintaining wireless and satellite communication products, defense electronics, radar systems, and network management software applications. They primarily serve customers in the aerospace and defense sectors.
During the corresponding period, the company witnessed a substantial decrease in its annual revenue, dropping from ₹52 crores in Q4 FY23 to ₹42 crores in Q4 FY24, marking a 19 percent decline. Conversely, there was a notable increase in net profit, rising by 18 percent from ₹11 crore to ₹13 crore.
The company’s notable customer base includes. The Indian Army, Indian Railways, Indian Air Force, Indian Navy, ISRO, DRDO, L&T, Boeing, Goa Shipyard Ltd, CSL, etc.
The company has set up a manufacturing facility in the Andhra Pradesh Medical Tech Zone (APMTZ), Visakhapatnam. It is planning to further establish a new capacity for medical devices, and the planned capex is ₹ 25 crore.
Avantel Ltd shares gained 7 percent in the last six months and multibagger returns of 253 percent in the last 12 months. For instance, a shareholder investment of ₹1 lakh in a company a year ago would be worth 3.53 lakhs.
As per the recent shareholding pattern, The Promoters of the Company own 40.06 percent, while retail shareholders own 59.94 percent of the company.
Written by Omkar Chitnis
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