The shares of this small distribution transformers manufacturer gained up to 5 percent after the company received purchase orders of Rs 3.28 crore for the supply of Transformers.
With a market capitalization of Rs 64.51 crores, the shares of Alfa Transformers Ltd were trading at Rs 70.50 per share, increasing around 4.99 percent compared to the previous closing price of Rs 67.15 per share.
According to the company filing, Alfa Transformers Ltd received purchase orders of Rs 3.28 crore from Rungta Sons Pvt Ltd for Design, Manufacturing, and Supply of 3.15MVA 11KV/0.433KV and 3.5 MVA and 3.0 MVA, 11/0.415KV, 3Phase, ONAN, Dyn 11, Copper wound Transformer by February, 2024.
Looking into Alfa Transformers Ltd’s performance, revenue increased by 122 percent from Rs 6.24 Crore in Q2FY23 to Rs 13.87 Crore in Q2FY24. During the same duration, net profit increased by 2064 percent from Rs 0.28 crore to Rs 6.06 crore.
Alfa Transformers Ltd reported return ratios in the recent financial year with a return on equity (ROE) of 9.84 percent and a return on capital employed (ROCE) of 7.82 percent. The equity ratio of the company is 0.41
The company is seeing a slow but steady improvement in market sentiment, and as inquiries and orders are being finalized to increase power generation, the company’s future appears bright.
In addition to the above paragraph, The company’s profitability may enable it to invest in research and development as well as prototype testing for solar and wind power transformers. The company product range product range was increased from 12 KV Class to 36 KV Class transformers.
Alfa Transformers Ltd’s recent shareholding pattern, The Promoters of the company own 47.49 percent while Retail shareholders own a 52.50 percent stake in the company.
Alfa Transformers Limited provides technical support and related services, including repair work, in addition to manufacturing small distribution transformers.
Written:- Abhishek Singh
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