In Monday’s trading session, the shares of one of the leading electric bus manufacturers specialized in the manufacturing of EV’s, automotive components and providing integrated solutions jumps upto 5 percent upon receiving new work orders from Ahmedabad Janmarg Limited and others worth ~Rs. 1,800 crores.
Price action
With a market capitalization of 19,384 Crores on Monday, the shares of JBM Auto Limited is up by 4.32 percent making a high of Rs 1,720 compared to its previous closing price of Rs 1,639.25.
What Happened
JBM Auto Limited specializing in the manufacturing and selling of sheet metal components, tools, dies & moulds and more, has received a new work order.
JBM Auto Limited’s subsidiary, JBM Ecolife Mobility, has secured a major Gross Cost Contract valued at approximately ₹1,800 crore from Ahmedabad Janmarg Limited and other leading corporates.
It involves the procurement, operation, and maintenance of 343 electric buses for Ahmedabad’s BRTS (Bus Rapid Transit System) under a Gross Cost Contract (GCC) and the project is set to be completed within one year and its completely domestic contract.
About the company
JBM Auto Limited one of the leading automobile players specialized in manufacturing of electric bus, automotive components, including sale of spare parts, accessories, maintenance contracts for buses, and providing integrated solutions for the automotive sector.
JBM Auto operates in several segments, including sheet metal components, bus and vehicle body building, electric vehicle (EV) manufacturing, and automotive seating systems.
The company is known for its strong focus on innovation, research, and technology to meet the evolving needs of the automotive industry and It has a robust customer base, catering to leading OEMs, Tier-1 suppliers, and global markets.
Segment Revenue
JBM Auto Limited’s segment revenue from operations, the Component Division saw a slight decrease from Rs. 3,049.68 Crores to Rs. 2,978.64 Crores during FY23-24, The Tool Room Division grew from Rs. 268.02 crores to Rs. 289.73 Crores in FY23-24, The OEM Division experienced a significant increase from Rs. 549.74 Crores to Rs.1,741.20 Crores in FY23-24 and the Others segment also grew from Rs. 0.70 Crores to Rs. 1.37 Crores in the same period.
Financials
The company’s revenue rose by 4.5 percent from Rs 1,238.82 crore to Rs 1,295.72 crore in Q2FY24-25. Meanwhile, Net profit rose from Rs 44.24 crores to Rs 49.53 crore during the same period.
Key Financial ratios
JBM Auto Limited has an Return on Equity (RoE) of 15.2 percent and a Return on Capital Employed (RoCE) of 12.32 percent. Furthermore, the company’s debt-to-equity ratio is 2.14.
Written by Sridhar J
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.
