The shares of the mobility solution provider to Indian railway have fallen by 4 percent from an intraday low despite the board have considered and approved the floor price of Rs 689.47 apiece.
Jupiter Wagons Ltd has a market capitalization of Rs 28,872.92 crore, the shares were trading at Rs 700.30 per share, decreasing around 3.17 percent as compared to the previous closing price of Rs 723.20 apiece.
Matter Explanation:-
The shares of the company have bearish movement despite Jupiter Wagons Ltd’s fundraising committee had approved a qualified institutional placement (QIP) launch, setting the floor price at ₹689.47 per equity share. Further, the committee has fixed the relevant date for the issue as July 08, 2024.
Financial Performance:-
Looking forward to the company’s financial condition, revenue magnified drastically by 56 percent from Rs 712 crore in Q4FY23 to Rs 1,113 crore in Q4FY24, during the same time frame, net profit soared by 153 percent from Rs 41 crore to Rs 104 crore.
Order Book:-
As of March 31, 2024, Jupiter Wagons Ltd (JWL) had a robust order book of over Rs 53,000 million (Rs 5,300 crore), with the wagon segment contributing more than 75%. The company’s CFO highlighted revenue visibility for the next 3.5 years, boosted by orders from Indian Railways and private players.
JWL’s order book stood at Rs 7,101.66 crore at the end of Q4 FY24. The company has consistently secured around Rs 750 crore in new orders each quarter, with a sequential increase of Rs 100-200 crore over the past year, indicating strong and steady growth.
Remarkable return & capacity expansion:-
The stock has given a multi-bagger return of 104 percent in just six months and 307 percent in a year. A shareholder’s investment of Rs. 1 lakh in the firm is worth Rs. 4.07 lakh in a Year.
JWL aims to scale up production capacity to 1,000 wagons per month by the end of FY25 which includes the expansion of its current steel foundry capacity at Kolkata from 2,500 MT to 3,000 MT and adding a new 2,000 MT steel foundry at Jabalpur in the next 18 months.
Company profile:-
Jupiter Wagons Limited is a railway engineering business that provides freight wagons and passenger coaches for the Indian Railways. The company manufactures railway wagons,
wagon components, castings, and metal fabrication, including load bodies for commercial vehicles and rail freight wagons.
Written by:- Abhishek Singh
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