Hi-Tech Pipes Limited, saw its shares zoom by more than 7 percent at Rs 967 levels on Monday’s trading session. The stock zoomed on account of strong Q3 numbers coupled with a corporate action announced by the company.
In the December quarter of FY23, the company reported revenue from operations that stood at Rs 569 Crores which was an increase of 30 percent from Rs 440 Crore in the same period a year earlier.
The net profit of Hi-Tech Pipes stood at Rs 13.02 Crore in the quarter under review, a jump of 28 percent Year on Year from Rs 10.17 Crore in Q3FY22. The company has recorded the highest sales volume during this Quarter at 91,232 tonnes, up 40 percent from 65,088 tonnes in Q3FY22.
To further improve the liquidity of the company’s equity shares, the board has approved a stock split. The ratio for the stock split is 10:1 i.e, every existing One equity share having a face value of Rs 10 each fully paid-up will be subdivided into Ten equity shares having a face value of Re 1 each fully paid-up.
Hi-Tech Pipes Limited (HTPL) is engaged in the manufacturing of a wide range of steel tubes and pipes. It is a powerful brand name in the Indian piping space and is one of India’s leading ERW pipe manufacturers and suppliers.
The company has Long Standing Relationships with Marquee Clientele that include Reliance Industries, Indian Oil, SAIL, Bharat Heavy Electricals Ltd, Hindustan Petroleum Corporation, Adani group, and Tata group among others.
In the past six months, the stock has zoomed by more than 76 percent. In a two-year time period, the stock has delivered a multibagger return of 277 percent as the share price has risen from Rs 250 in January 2021 up to the current levels.
The small-cap stock has a market capitalization of Rs 1,165 Crore. The promoters of the company hold a 59.32 percent stake in the company and have pledged 1.78 percent of it.
Written by Anoushka Roy
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