The shares of the specialty oils and lubricants manufacturer gained up to 1.4 percent after the company received a work order from BESCOM worth Rs 15.20 crore.
With a market capitalization of Rs 2,206.96 crore, the shares of Gandhar Oil Refinery (India) Ltd were trading at Rs 225.50 per share, increasing around 1.30 percent as compared to the previous closing price of Rs 222.60 apiece.
According to the company filing, Gandhar Oil Refinery (India) Ltd has received a work order from BESCOM for the purpose of supplying new insulating oil uninhibited (U) type- II transformer oil. worth Rs 15.20 crore
Looking at the company’s financials, Gandhar Oil Refinery (India) Ltd’s sales increased by 0.4% from Rs 1,098 crore in Q3FY23 to Rs 1,103 crore in Q3FY24. During the same time frame, net profit increased by 4% from Rs 49 crore to Rs 51 crore.
Gandhar Oil’s overseas operations are in more than 100 countries contributing 53.32% of pro forma consolidated revenue from the sale of products in FY23. The company operates 3 strategically located manufacturing facilities in Taloja (Maharashtra), Silvassa (Dadra and Nagar Haveli), and Sharjah (UAE).
The company has long-term relationships with leading global and Indian customers which include Adani Group, Patanjali, P&G, Dabur, Marico, Gulf, Unilever, and many more.
Gandhar has a diverse client base of 3,558 during FY23, reducing concentration risk and the danger of any one customer failing or delaying payments. In FY23, the top 5/10/20 customers generated 14.45%, 20.85%, and 28.01% of pro forma consolidated revenue from completed items sold.
In terms of return ratios, the firm had an excellent ROE of 30.0% and a RoCE of 37.3% in FY23. This signifies an extraordinary return on shareholders’ money and the most efficient use of corporate resources.
Gandhar is the largest manufacturer of white oils in terms of sales, producing pharmaceutical, health care, and performance oil (PHPO), process insulating oil (PIO), and lubricants.
Written by:- Abhishek Singh
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