The shares of this micro-cap company hit a 2 percent upper circuit after announcing June-September results. In just 6 months, the company’s stock has delivered multibagger returns of 255 percent to its stakeholders.
For example, if someone had invested Rs. 1 lakh six months ago, then, the worth of those shares would be Rs. 3.5 lakhs now.
With a market capitalization of Rs. 738 crores, the shares of Rajoo Engineers Ltd started its Monday trading session on a higher note. The share hit a 2 percent upper circuit at Rs. 122 within a few minutes of the opening bell.
Such a positive moment was observed after the company announced its Q2 FY24 results. The revenue increased approximately by 72 percent from Rs. 31.21 crores during the June quarter to Rs. 53.53 crores in the September quarter. In addition to this, net profit zoomed by 117 percent from Rs. 2.46 crores to Rs. 5.36 crores keeping the timeframe the same.
Comparing these metrics on a YoY basis, the revenue jumped by approximately 60 percent from Rs. 33.63 crores during Q2 FY23 to Rs. 53.53 in Q2 FY24. Moreover, the net profit increased by 60 percent from Rs. 3.34 crores to Rs. 5.36 crores during the same time horizon.
Coming on to the important financial ratios, the return on equity was at 11.06 percent during FY22-23, and the return on capital employed was recorded at 14.59 percent during the same period.
According to the latest shareholding pattern, Promoters have a 66.33 percent stake in the company and the remaining 33.67 percent shares are with Retail Investors or the Public.
Headquartered in Rajkot, Rajoo Engineers Limited has expertise in blown film lines, sheet lines, and thermoformers in the Indian sub-continent, and is in a position of leadership amongst Asian manufacturers of similar equipment. A sought-after name in global markets, the exports accounting for over 50% of sales is indicative.
Written By Vaibhav Patil
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