On Tuesday, the bulk deals section on the NSE provided an update with respect to the ace investor, Mr. Porinju Veliyath, owned company ‘Equity Intelligence India’ buying around 6.1 lakh equity shares in the Hospital chain ‘Shalby Ltd’. The average price for the above deal was fixed to be Rs 117 per share.
The company’s stock opened its trading session today at a price of Rs 122.40 and currently trades at Rs 126.10. The scrip is up around 8 percent in comparison to the previous closing price of Rs 116.85.
Shalby Ltd operates a chain of multispecialty hospitals. It is engaged in the business of setting up and managing hospitals and medical diagnostic services. The hospitals offer healthcare services to patients in various areas of specialization such as Cardiology, Emergency Medicine, Gastroentero Surgery, Arthroscopy Sports Injury, Infectious Diseases, Oncology, and others. The activities are mainly conducted only in India.
Having a quick walkthrough of the financials, the company has reported mixed movements in the revenue and net profit figures. Revenues moved from Rs 201.8 crores in Q2 to Rs 202.46 crores in Q3. On a contrasting note, the net profits moved from Rs 18.4 crores in Q2 to Rs 15.28 crores in Q3.
The profitability ratios of the company have also been able to witness an uptrend with ROE moving from 5.19 percent in FY20-21 to 6.31 percent in FY21-22. Moreover, the ROCE figures showed a shift from 6.85 percent in FY20-21 to 9.08 percent in FY21-22.
Something of a concern is the increasing debt to equity ratio of the company which shifted from 0.05 in FY20-21 to 0.18 during FY21-22.
As per the recent quarter data, promoters of the company hold a 74.12 percent stake whereas FIIs, showing faith, have increased their stakes from 3.78 percent in Q2 to 3.97 percent in Q3.
Written by Amit Madnani
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