The shares of the leading plastic manufacturer gained up to 4 percent after the company received a letter of acceptance from Indian Oil Corporation Ltd worth Rs 55 crore.
With a market capitalization of Rs 73,675.58 crore, the shares of Supreme Industries Ltd were trading at Rs 5,800.00 per share, increasing around 0.56 percent as compared to the previous closing price of Rs 5,767.60 apiece.
Description of Events:-
According to the company filing, Supreme Industries Ltd received a letter of acceptance from Indian Oil Corporation Ltd for a supply of approximately 2,31,035 number of 10.0 Kg composite cylinders. The total supply is expected to be valued at around Rs.55 crores approx.
Matter explanation:-
Furthermore, the Contract shall be valid for a period of 12 months from the date Of placement of the LOA. However, the same may be extended and/or repeated at the sole discretion of locL for a further period of up to 12 months.
Financial analysis:-
Looking forward to the company’s financial performance, revenue soared by 15 percent from Rs 2,598 crore in Q4FY23 to Rs 3,008 crore in Q4FY24, but, during the same time frame, the company’s net profit plummeted by 1 percent from Rs 359 crore to Rs 355 crore.
Ratio analysis:-
The company’s critical ratios show that the return on equity increased from 19.65 percent in FY22-23 to 20.93 percent in FY23-24, while the return on capital employed increased from 21.19 percent to 24.88 percent. The net profit margin (NPM) for fiscal year 23-24 is 9.50 percent.
Company profile:-
Supreme Industries Limited is a plastics manufacturing firm. The company works in four segments: plastic pipe goods, industrial products, packaging products, and consumer products. Its goods are divided into several categories, including Plastic Piping Systems, Consumer goods, Industrial Products, and Packaging Products.
Written by:- Abhishek Singh
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