On Thursday, the share price of a micro-cap company hit its 5 percent upper circuit to Rs 422.10 per share from its previous close of Rs 402 per share after the company announced the issue of preference shares.
As per the filing of RBM Infracon Limited, the company has issued 1.66 million equity preference shares at Rs 386 per share, worth Rs 64 crore.
In Addition, the company has issued 530,000 fully convertible warrants as preferential allotment to Mr. Aditya Jay Bajrang Mani for Rs. 360, worth Rs. 20.4 crore.
Looking at the financials of RBM Infracon Limited, net revenue increased by 67 percent year on year, from Rs 23.36 crore in Q2FY23 to Rs 39.07 crore in Q2FY24.
Furthermore, the company’s net profit increased by 230 percent year on year, from a net profit of Rs 0.65 crores in Q2FY23 to a net profit of Rs 2.15 crores in Q2FY24.
The company has a debt-to-equity ratio of 0.47, with a good current ratio of 1.7, a return on equity of 18 percent, and a return on capital employed of 19 percent. Their debtor days have improved from 116 to 81.7 days.
RBM Infracon Limited is a micro-cap company with a market capitalization of Rs 356 crores. The promoter owns 72 percent of the company, the general public owns 27 percent.
The company’s share price rose by 630 percent since the company was listed on January 11, 2023. For instance, if an investor invested Rs 1 lakh the current value of the investment would be Rs 7.3 lakh.
RBM Infracon Limited, founded in 2013, specializes in the engineering, execution, testing, commissioning, operation, and maintenance of mechanical and rotary equipment for oil and gas refineries, cement, fertilizers, petrochemicals, coal/gas power plants, and other industries.
Written by Sriram KV
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
