Shares of this microcap company clocked 5 percent upper circuit after receiving an order worth over Rs. 2.33 crores from Bharat Electronics Limited. In one year, the shares have delivered a multibagger return of 133 per cent to its shareholders.
Price Movement:
With a market capitalization of Rs. 16.3 crores, the shares of NMS Global Ltd started Tuesday’s trading session on a higher note at Rs. 55.11, clocked 10 percent upper circuit compared to its previous close of Rs. 50.10 apiece.
What Happened:
Such a bullish movement in the share price was observed after the company in an exchange filing announced that it had been awarded a contract to construct a Government Higher Primary School at K.E.B Colony in Raichur District, under the tender by Bharat Electronics Limited, a Government of India enterprise under the Ministry of Defence worth over Rs. 2.33 crores.
Further, the entire work shall be completed within 15 months from the date of commencement of work.
Financials:
Looking at the company’s financial statements, the revenue magnified by 279 percent from Rs. 6.56 crores during FY22-23 to Rs. 24.83 crores in FY23-24. In addition, the net profits surged by 18 percent from Rs. 28 lakhs to Rs. 33 lakhs during the same period.
Shareholding Pattern:
According to the latest shareholding pattern, Promoters possess 49.93 percent of the company’s stake, while the remaining 50.07 percent of shares are held by Retail Investors.
Important Financial Ratios:
In terms of key financial metrics, the company reported a Return on Equity (RoE) of 3.88 percent and a return on capital employed (RoCE) of 5.53 percent for the period spanning FY23-24. Additionally, during the same timeframe, the net profit margin stood at 1.34 percent.
Company Profile:
Headquartered in Delhi, NMS Global Ltd was incorporated in 1986. The company was previously focused on the food processing and commodity supply sectors but has since expanded into new business areas such as contracting services, pre-engineered buildings, skill development, financial consultancy, and engineering services. Further, it is also providing exclusive supplies and marketing teams for telecom providers.
Written By Vaibhav Patil
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