FMCG stock engaged in the business of manufacturing and supplying various types of processed coffee and coffee based products across domestic and overseas markets hits 2 percent upper circuit following capacity and business expansion plans.
With a market capitalization of Rs. 599 Crores, the shares of Vintage Coffee & Beverages Limited hit a 2 percent at Rs. 57.2.
In response to the surging global demand for coffee, Vintage Coffee & Beverages Limited is going to enhance the production capacity by an additional 2000 MT, aiming for an annual capacity of 6500 MT. The process of installing this additional capacity is expected to be completed by the end of the Q4FY25.
It also aims to ramp up the utilisation of its current 4500 MTPA capacity by end the of Q2FY25 to 100 percent from its existing capacity of 52 percent in Q3FY24 and It is set to commission modern automated packaging lines to ensure safe and efficient container outturns.
Moreover it has secured major contracts in the Middle East, Europe, Russia, and West Africa and it plans to introduce its proprietary brands in West Africa and Russia, capitalizing on emerging market opportunities.
It further aims to penetrate select segments of the Indian market, including e-commerce, HORECA, and retail spaces. With these strategic initiatives in place, the company anticipates a further increase of 150 percent in revenue by the conclusion of the fiscal year 2025.
Vintage Coffee & Beverages Limited is engaged in the business of manufacturing and supplying various types of processed coffee and coffee based products across domestic and overseas markets.
Its revenue from operations grew by 101.79 percent from Rs. 18.65 Crores in Q3FY23 to Rs. 37.63 Crores in Q3FY24, accompanied by profits of Rs. 1.28 Crore to Rs. 3.59 Crore.
It has reported a return on equity (ROE) of 3.62 percent and a return on capital employed (ROCE) 5.12 percent, it is making decent returns on its equity and capital employed.
Written by: Bharath K.S
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