Shares of this microcap company clocked 5 percent upper circuit in Wednesday’s trading session after signing an MoU with CXR Anderson Jacobson SAS. The shares have delivered a multibagger return of 195 percent to its shareholders in one year.
With a market capitalization of Rs. 308 crores, the shares of Valiant Communications Ltd started Wednesday’s trading session on a higher note at Rs. 426.15 compared to its previous close of Rs. 405.90. Within a few minutes of the opening bell, the shares clocked 5 percent upper circuit at Rs. 426.15 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that it had entered into an MOU with CXR Anderson Jacobson SAS, a France-based company, to facilitate CXR France to market the company’s range of cyber security products and solutions to CXR customers in France, as well as in the neighbouring European countries and other French-speaking regions in North Africa.
Furthermore, the company also received an order to supply communication protection solutions as per the technical requirements of Bulgarian Power Utility ESQ EAD for USD 2.39 lakhs (i.e., Rs. 1.98 crores as per the current exchange rate). The orders are to be supplied by June 30, 2024.
Coming onto the company’s financial statement, the revenue increased by 11 percent from Rs. 11.110 crores during the September quarter to Rs. 12.27 crores in the December quarter. On a contrasting note, the net profits decreased by 3 percent from Rs. 1.43 crores to Rs. 1.38 crores during the same timeframe.
The company has a current order book with confirmed orders of Rs. 2,935 lakhs. The expected execution period for these orders is the next 3 to 4 forthcoming quarters. In addition, Valiant is successfully partnering in the Indian and international markets with Tejas Networks Limited, a Tata Group company.
Valiant and Tejas have also partnered for the forthcoming large-scale business opportunities for their product supplies at the State Electricity Boards (SEBs) of Maharashtra, Kerela, Gujarat, Telangana and Tamil Nadu. These business opportunities are valued at over more than Rs. 100 crores for Valiant.
Headquartered in Delhi, Valiant Communications was incorporated in 1993. The company manufactures communication equipment, primarily for power utilities and other utilities and provides allied services.
Written By Vaibhav Patil
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