Shares of this metal stock under the ‘small-cap’ category hit the 5 percent upper circuit after the company released its financial results for the quarter ended September 2023, i.e., Q2FY23-24.
With a market capitalization of Rs 9,960.75 crores, the stocks of Jai Balaji Industries Limited started their trading session on Tuesday at Rs 619.40 and currently are locked in the 5 percent upper circuit recorded at Rs 620.80 apiece. The locked price is also marked as the company’s fresh 52-week high level.
Such sharp movements in the company’s stock price were witnessed after it released a regulatory filing with the Bombay Stock Exchange (BSE) announcing financial results for the quarter ended September 2023.
On a sequential basis, the company’s basic business parameters such as the operating revenues and net profits increased with the former moving up from Rs 1,483 crores during Q1FY23-24 to Rs 1,547 crores during Q2FY23-24, and, the latter, during the same time horizon, improved from Rs 171 crores to Rs 202 crores.
Moreover, the company, on a yearly basis, has shown positive movements in the metrics discussed above with the operating revenues shifting from Rs 1,370 crores during Q2FY22-23 to Rs 1,547 crores during Q2FY23-24, and, the net profits, in congruence, rose from Rs 21 crores to Rs 202 crores indicating a gain of around 862 percent.
Coming onto the profitability ratios of the company, the return on equity (RoE) was reported at 10.40 percent during FY22-23, and, the return on capital employed (RoCE), during the same period, was reported at 16 percent.
During the past six months, the company’s stock has delivered multibagger returns of 1,135 percent, i.e., if someone had invested Rs 1 lakh six months ago, it would have converted to Rs 12.35 lakhs.
According to the latest shareholding pattern data available, the company’s Promoters hold a 64.84 percent stake, and the remaining 35.16 percent stake of the company is held by the Public (retail) investors.
Jai Balaji Industries Limited is a company based in India that is engaged in the business of manufacturing iron and steel. Some of the products offered by the company include sponge iron, TMT bars, sinter, and many more. The company has a business presence within as well as outside India.
Written by Amit Madnani
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