Shares of this smallcap company surged upto around 6 percent in Friday’s trading session after reporting an increase in net profits by 182 percent QoQ.
With a market capitalization of Rs. 4,361 crores, the shares of Lux Industries Ltd started Friday’s trading session on a higher note at Rs. 1,498 compared to its previous close of Rs. 1,422.30. During the trading session, the shares hit a high of Rs. 1,520, gaining around 6 percent and closed the day at Rs. 1,455 apiece.
Such a bullish movement in the share price was observed after the company announced quarterly and financial year ended 31st March 2024 results. Quarterly, the revenue zoomed by 58 percent from Rs. 445.01 crores during the December quarter to Rs. 704.21 crores in the March quarter. In addition, the net profits magnified by 182 percent from Rs. 19.49 crores to Rs. 55.09 crores during the same period.
Comparing the same metrics on a YoY basis, the revenue decreased marginally by around 0.6 percent from Rs. 708.58 crores during Q4FY23 to Rs. 704.21 crores in Q4FY24. On a contrasting note, the net profits jumped by around 85 percent from Rs. 29.84 crores to Rs. 55.09 crores during the same timeframe.
EBITDA margin, meanwhile, expanded 480 basis points (bps) to 10.7 percent in the March quarter of the financial year 2024, from 5.9 percent in the March quarter of the financial year 2023.
Additionally, the Board of Directors of the company has also recommended, a dividend of Rs 2 per share of the face value of Rs 2 each for FY24.
According to the latest shareholding pattern, the Promoters possess 74.19 percent of the company’s shares, while Domestic Institutional Investors (DIIs) hold 4.88 percent, of which 4.74 percent is held by LIC. Foreign Institutional Investors (FIIs) account for an 0.83 percent stake, with the remaining 20.10 percent held by Retail Investors.
The company has a total of seven manufacturing facilities that possess a cumulative capacity of 34 crores of garment pieces a year. The company’s manufacturing units are located in India in Punjab, Uttar Pradesh, Tamil Nadu and West Bengal. And the company has a 15 percent Existing market share in men’s innerwear
Moreover, the company forayed into a newer product portfolio with a focus on athleisure clothing and womenswear segments and targeting to have a presence in 60 countries by 2025.
Headquartered in Kolkata, Lux Industries was incorporated in 1995. The company is engaged in the manufacturing and marketing of innerwear, thermals, and casuals under various brands, with ‘LUX’ being its flagship brand.
Written By Vaibhav Patil
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.
