Share price of this monopoly stock and a leading manufacturer of heavy-duty mechanical moved up by nearly 3.1 percent to Rs. 564.75 in the morning trading session of January 23, after the company reported achieving a significant milestone with its recent certification.
With a market cap of Rs. 507 crore, shares of Sealmatic India Ltd opened at Rs. 570 on Tuesday from its previous close of Rs. 547. The company has delivered a positive return of nearly 4.97 percent returns in the last six months and more than 136.9 percent in the last one year. So far, it has given negative returns of around 0.55 percent in 2024.
The rise in the share prices in the morning trading session was just after the company announced through a recent filing with the stock exchanges, that it achieved a significant milestone with its recent certification of ASME U Stamp for Pressure Vessels.
While this ASME U Stamp serves as a hallmark of quality and compliance within the industry, this certification denotes that Sealmatic India has met the precise control requirements and has been produced with the utmost care and precision, as described in Section VIII Division 1 of the ASME (BPVC).
This certification authorises Sealmatic India to use the U Stamp on pressure vessels that indicate compliance with the Code and ensure that the vessels meet the safety as well as quality standards.
It not only indicates the capability of the company to design but the ASME U Stamp is also important for Sealmatic as it will inspect, fabricate, and test unfired pressure vessels.
ASME U Stamp serves as a universal benchmark that will provide access to international markets for Sealmatic India and portray the company as a reliable and quality-focused player on the global stage, as mentioned by the Managing Director of Sealmatic India Ltd.
In terms of financials, the company’s revenue from operations grew by 38.13 percent from Rs. 42 crore in FY21-22 to Rs. 59 crore in FY22-23, accompanied by a significant increase in net profit from Rs. 8 crore in FY21-22 to Rs. 11 crore in FY22-23.
As of September 2023, DIIs hold 3.35 percent of the shares in the company, and the Promoters’ holding remains unchanged at 72.38 percent.
Incorporated in 2009, Sealmatic India Ltd provides the widest portfolio of seals and seal supply systems. It is the only mechanical seal company in
India that has received ISO 19443 accreditation for Nuclear Applications and is India’s only domestic manufacturer or monopoly company in mechanical seal production.
Written by Shivani Singh
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