The shares of forged engineering components manufacturer gained up to 4 percent after the company’s board of directors approved a stock split in the ratio of 1:10.
With a market capitalization of Rs 242.45 crore, the shares of Hilton Metal Forging Ltd were trading at Rs 115.45 per shares, decreasing around 3.23 percent as compared to the previous closing price of Rs 119.30 apiece.
According to the company filing, Hilton Metal Forging Ltd’s board considered the proposal for sub-division of 1 equity share of the Company having face value of ₹10 each into 10 equity shares having face value of ₹ 1 each, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the company.
Looking into Hilton Metal Forging Ltd’s financial performance, revenue increased by 3 percent from Rs 30.66 Crore in Q4FY23 to Rs 33.83 Crore in Q4FY24. During the same time frame, net profit decreased by 77 percent from Rs 2.49 crore to Rs 0.55 crore.
The company’s profitability measures show an incline in return on equity (RoE) from 6.55 percent in FY 21-22 to 8.28 percent in FY 22-23, while, during the same period return on capital employed (RoCE) increased from 2.82 percent to 9.67 percent. In contrast, the net profit margin (NPM) was 5.59 percent in fiscal year 22-23.
In the company’s recent shareholding pattern, promoters own 27.67 percent while Retail shareholders own a 72.05 percent stake in the company and foreign Institutional Investors own a 0.28 percent stake.
Hilton Metal Forging Limited manufactures steel forgings, flanges, and forged fittings for the oil and gas, petrochemical, and refinery industries. The Company’s core business segment is forging components such as flanges and forged fittings.
Written by:- Abhishek Singh
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