Blue Star Limited, in a filing with the exchange today, announced that the Company has been successful in securing Railway Electrification orders which totals to about Rs 575 crores. The above order aids the company to expand its presence in the Railways segment and mark a foray into the Railway Electrification space.
Being an existing significant contributor to the Metro Rail segment in India for air conditioning and tunnel ventilation works, the Company has further been able to bag four railway electrification orders from various prestigious customers which include the West Central Railway (Kota Division), Central Organization for Railway Electrification (CORE), and Metro Railway, Kolkata.
The company’s stock opened its trading session today at Rs 1,466.90 and is currently trading at Rs 1,462.25. The stock gained roughly 0.5 percent as compared to the previous closing price of Rs 1,455.65. Keeping a purview of six months, the stock has delivered a return of approximately 34 percent to its stakeholders.
Blue Star is India’s leading heating, ventilation, air conditioning and commercial refrigeration (HVAC&R) Company with a network of 31 offices, and 5 modern manufacturing facilities. It is the largest after-sales service provider with respect to air conditioning and commercial refrigeration products in the country. Along with 1172 service associates reaching out to customers in over 900 towns, the Company has 7500 stores for room ACs, packaged air conditioners, chillers, cold rooms as well as refrigeration products and systems.
The Company has manufacturing facilities at Dadra, Himachal Pradesh, Wada and Ahmedabad, which uses modern, state-of-the-art manufacturing equipment for ensuring that the products have a consistent quality and reliability.
Having a quick walkthrough of the financials, it can be observed that the revenues as well as net profits have shown a positive movement. Revenue figures moved from Rs 1,576.24 crores in Q2 to Rs 1,788.2 crores in Q3. Moreover, the net profits of the company showed a shift from Rs 42.69 crores in Q2 to Rs 58.76 crores in Q3.
Coming onto the profitability ratios of the company, the returns to the equity holders shifted from 11.76 percent in FY20-21 to 17.54 percent in FY21-22. Likewise, the returns on the capital employed showed a movement from 16.25 percent in FY20-21 to 20.89 percent in FY21-22.
Another positive aspect highlighting the operational efficiency of the company is with respect to the debt to equity ratio which has reduced from 0.51 in FY20-21 to 0.47 in Y21-22.
As of the quarter ending December 2022, promoters of the company hold 38.78 percent holdings. FIIs, on the other hand, have reduced their stake from 11.79 percent in Q2 to 10.96 percent in Q3.
Written by Amit Madnani
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
