Shares of this smallcap company jumped upto 1 percent in Wednesday’s trading session after receiving an order from DRDO worth Rs. 187 crores. The shares have delivered a multibagger return of 211 percent to its shareholders in one year.
With a market capitalization of Rs. 2,368 crores, the shares of Centum Electronics Ltd started Wednesday’s trading session on a higher note at Rs. 1,975 compared to its previous close of Rs. 1,861.20. During the trading session, the shares hit a high of Rs. 1,985, gaining around 1 percent and are currently trading at Rs. 1,818 apiece.
Such a positive movement in the share price was observed after the company in an exchange filing announced that they had received an order for the Realization of space-based EW Payloads from the Defense Research and Development Organisation (DRDO) worth Rs. 187 crores and the orders are to be executed in 16 months.
Coming onto the company’s financial statements, the revenue zoomed by 20 percent from Rs. 248 crores during the September quarter to Rs. 298.18 crores in the December quarter. In addition, the net profits showcased a transition from a net loss of Rs. 4.56 crores to Rs. 7.52 crores during the same period.
The company has an order book of Rs. 14,890 million (1,489 crores), slightly lower compared to the September 23 level due to certain delays in booking the order in BTS business. Moreover, the company is focusing on incentivizing manufacturing and capital investment in India, aligning with the country’s growth trajectory.
Furthermore, the company gets revenue from multiple sources, primarily through Defense, Space and Aerospace which contributes 45 percent of the revenue and the remaining 55 percent of the revenue inflows from the Transport and Automotive, Industrial and Energy, and Healthcare sectors.
Headquartered in Bangalore, Centum Electronics was incorporated in 1993. They are one of the largest Electronics System Design and Manufacturing (ESDM) companies in India. It offers an entire spectrum of design services and manufacturing of systems, and subsystems for mission-critical products in Defence, Space, Aerospace, Industrial, Transportation and Medical sectors.
Written By Vaibhav Patil
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