The leading pump manufacturer company’s share price has risen by 6 percent to its intraday high of Rs 1132.5 per share from its previous close of Rs 1069.3 after the company announced it received its 10th patent.
Shakti Pumps India Ltd has secured its tenth patent for inventing “A Surface Helical Pump Construction With Collinear Flow,” a revolutionary design that solves a key issue in RO systems inconsistent water flow during blockages.
The “Surface Helical Pump Construction with Collinear Flow” maintains consistent flow even in the presence of blockages, increasing efficiency, lowering maintenance costs, and providing a cost-effective solution.
Looking at the company financials, their net revenue decreased by 29 percent year over year, from Rs 216.32 crore in Q2FY23 to Rs 152.78 crore in Q2FY24. Their revenue rose by 35 percent sequentially from Rs 113.06 crore in Q1FY24 to the current levels.
In addition, the company’s net profit rose by 208 percent year over year, from Rs 1.90 crores in Q2FY23 to Rs 5.86 crores in Q2FY24. Their profit increased by 486 percent on a quarterly basis from Rs 1 crore in Q1FY24 to the current levels.
Shakti Pumps India Limited is a Small cap company with a market capitalization of Rs 2000 Crores with a low debt-to-equity ratio of 0.18 also it has an average Return on Equity of 16 percent in the last three years and a dividend yield of 0.49 percent.
The share price of the company has risen by 86 percent in the last six months and 173 percent in the last year. For instance, if an investor invested Rs 1 Lakh a year ago the current value would be Rs 2.73 Lakhs.
The promoter of the company owns 56.2 percent, the general public owns 43 percent, foreign institutional investors own 0.5 percent, and domestic institutional investors own 0.3 percent.
Shakti Pumps (India) Ltd is primarily involved in the production of various types of pumps and motors. It also provides advanced water pumping solutions for a variety of applications including irrigation, horticulture, domestic water supply, and commercial and industrial.
Written by Sriram KV
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