Shares of this microcap company jumped upto 10 percent in Thursday’s trading session after receiving orders worth Rs. 43.66 Million. The shares have delivered a multibagger return of 400 percent return in one year to its shareholders.
With a market capitalization of Rs. 151 crores, the shares of Dynamic Services & Security Ltd started Thursday’s trading session on a lower note at Rs. 105 compared to its previous close of Rs. 108.45. During the trading session, the shares hit a high of Rs. 114.95, gaining around 10 percent and are currently trading at Rs. 110 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that they had received orders from the Office of the MG ASC, HQ Eastern Command worth Rs. 43.66 million for the supply of Egg Fresh and Fish Fresh at Panagarh and Kolkata. The date of commencement is 01.04.2024 and it will conclude on 31.03.2025, i.e.,12 months.
Coming onto the company’s financial statement, the revenue increased marginally by 1.3 percent from Rs. 72 crores during FY21-22 to Rs. 73 crores in FY22-23. In addition, the net profits magnified from Rs. 2 crores to Rs. 10 crores during the same period.
Earlier, in March 2024, the company received an order from the Office of the West Bengal Power Development Corporation Limited, for providing Cleaning and Sweeping Services at the Mill area, ESP area, Vaccum pump house, Booster pump house, Feeder area and Bunker roof area of Santaldih Thermal Power Station for 2 years and the contract value was approx. Rs. 17.62 million.
Due to increasing operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 4.74 percent during FY 21-22 to 17.52 percent in FY 22-23, and, the return on capital employed (RoCE) zoomed from 10.23 percent to 24.58 percent during the same timeframe. Furthermore, the net profit margin increased from 3.02 percent during FY21-22 to 13.23 percent during FY22-23.
As per the latest shareholding pattern, the Promoters have a 64.99 percent stake, Retail investors have 34.99 percent shares and the remaining 0.01 percent of stakes are with the DIIs.
Headquartered in Kolkata, Dynamic Services and Security was incorporated in 2016. The company provides Mechanized Cleaning, Conservancy, Housekeeping, and Catering. They also provide Security Guarding and Manpower Solutions to government agencies like the Indian Army, Indian Navy, Indian Air Force, Indian Railways and Webel Technology Limited.
Written By Vaibhav Patil
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