The shares of this mobile phone and consumer electronic distributor jumped by 9.2 percent Rs 338.35 per share on its intraday high from its previous close of Rs 309.65 per share after the receiving PLI Scheme for Manufacturing of IT Hardware Products.
According to Optiemus Infracom’s filing, its subsidiary Optiemus Telecommunication Private Limited was selected under the Production-Linked Incentive Scheme 2.0 (“PLI Scheme”) for Manufacturing IT Hardware Products, which is administered by the Ministry of Electronics and Information Technology.
On November 18, 2023, the Indian government declared that 27 manufacturers received approval under Scheme – 2.0 for IT Hardware with investments totaling Rs 3,000 crore by companies. PLI 2.0 program’s six-year duration allows manufacturers more time to benefit from the incentives. This will result in an additional 3.5 lakh crore worth of production, as well as the creation of 50,000 direct jobs and 150,000 indirect jobs.
The following is the list of companies that received approval for the IT hardware PLI scheme: Optiemus, Goodworth, Neolink, Syrma, Bhagwati, Dell, Foxconn, Lenovo, HP, Flextronics, Paget, Sojo, VVDN, and Goodworth. The PLI Scheme 2.0 for IT hardware covers ultra-small form factor devices, servers, laptops, tablets, and all-in-one PCs.
Furthermore, Optiemus Infracom reported, the company’s net revenue decreased 8.8 percent year on year from Rs 300.87 crores in Q2FY23 to Rs 274.34 crores in Q2FY24. On a quarter-on-quarter basis, their revenue decreased 2.5 percent from Rs 281.58 crore in Q1FY24 to current levels.
In addition, net profit declined 23 percent year on year, from Rs 5.4 crores in Q2FY23 to Rs 7.1 crores in Q2FY24. On a sequential basis, their net profit fell by 42 percent from Rs 9.39 crores in Q1FY24 to current levels.
Optiemus Infracom Limited is a small-cap company with a market capitalization of Rs 2,660 crores. The majority stake in the company is held by promoters at 74.8 percent, followed by foreign institutional investors at 0.04 percent, public at 25.04 percent, and the remaining portion belonging to domestic institutional investors.
The share price of Optiemus Infracom Ltd company has climbed by 43 percent in the last year and by 79 percent over the past six months.
Optiemus Infracom Ltd has spent the last 25 years mainly distributing mobile phones under well-known brands like Samsung and Nokia. In 1995, the group began distributing Nokia phones in the Delhi General Trade market.
Written by Sriram KV
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