The shares of leading mining and construction equipment manufacturers hit 5 percent upper circuit after the company received an order of Rs 33.11 crore for the supply of coal mining equipment.
Eimco Elecon India Limited has a market capitalization of Rs 1,238.67 crore, the shares were trading in green at Rs 2,147.35 per share, which increased significantly by around 5 percent as compared to the previous closing price of Rs 2,045.10 apiece.
Such a bullish movement has been seen in the shares after Eimco Elecon India Limited received an order of Rs 33.11 crore for the supply of coal mining equipment from the Singareni Collieries Company.
Examining the company’s financial performance, revenue soared by 31 percent from Rs 64 crore in Q4FY23 to Rs 84 crore in Q4FY24, and during the same period of time, net profit magnified by 50 percent from Rs 10 crore to Rs 15 crore.
The stock has given a return of 28.36 percent in six months and a multi-bagger return of Rs 248.45 percent in a year. If an investor invests Rs 1 lakh in the company would be worth Rs 3.48 lakhs in a year.
Examining the company’s crucial ratio, return on equity inclined from 5.56 percent in FY22-23 to 9.98 percent in FY23-24, while during the same time frame return on capital employed also inclined from 7.17 percent to 12.51 percent. In contrast, the net profit margin (NPM) stands at 16.93 percent in fiscal year 22-23.
Eimco Elecon (India) Limited is an Indian corporation. The company’s primary business is producing equipment for the mining and construction industries. The company manufactures a variety of underground coal mining machines and construction equipment.
Written by:- Abhishek Singh
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