Shares of this microcap company clocked 5 percent upper circuit after the board to consider a stock split this month. The shares have delivered a multibagger return of 255 percent to its investors in one year.
With a market capitalisation of Rs. 399 crores, the shares of OK Play India Ltd started Thursday’s trading session on a higher note at Rs. 146 compared to its previous close of Rs. 143.75. During the trading session, the shares clocked 5 percent upper circuit at Rs. 150.90 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that it would be considering the proposal for a stock split in its upcoming board meeting. Furthermore, the board meeting to consider and approve the stock split has been fixed on 30th January 2024.
Coming on to the company’s financial statements, the revenue decreased by 7 percent from Rs. 43.25 crores in the June quarter to Rs. 40.31 crores during the September quarter. On a contrasting note, the net profits zoomed by 14 percent from Rs. 36 lakhs to Rs. 41 lakhs during the same timeframe.
The company operates in three business verticals, in which they get 76.3 percent of the revenue from auto components, followed by toys which contribute 22 percent of the revenue and the remaining 1.7 percent of revenue comes from the EV segment.
The company has a majority market share in the plastic fuel tank industry and is a single-source supplier to Ashok Leyland. Furthermore, recently in the toy space the company partnered with MGA Entertainment, Hamleys, and Kmart, and is diversifying into modern retail, exports and online. Moreover, the company plans to invest Rs. 100 crores in the toy space over the next 2 to 3 years.
Ok Play India has already separated its EV business into a subsidiary called RIRA Electric Vehicles and is focusing on developing its sales and marketing channel. In addition, the company plans to deploy 1000 to 5000 EVs in Delhi NCR as a pilot case for their battery swapping business.
Headquartered in Haryana, OK Play India was incorporated in 1988. The company is engaged in manufacturing plastic moulded products such as toys, school furniture, infrastructure, automotive products and others.
Written By Vaibhav Patil
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