Shares of this microcap company jumped around 5 percent in Tuesday’s trading session after receiving orders worth Rs. 5.18 crores from Domestic and International clients. In one year, the shares have delivered around 60 percent to its shareholders.
With a market capitalization of Rs. 84.4 crores, the shares of Dev Labtech Venture Ltd started Tuesday’s trading session on a flatter note at Rs. 97.30. During the trading session, the shares hit a high of Rs. 102.06, gaining around 5 percent and are currently trading at Rs. 101.99 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that it had received a purchase order from an American Jewellery LLC company for a supply of Lab Grown Diamonds (CVD) of different sizes amounting to USD 5,00,000 (approx Rs. 4.18 crores).
Additionally, the company received another purchase order from a Domestic Indian Firm for the supply of Lab Grown Cut and Polished Diamonds as per its requirement amounting to Rs. 1 crore.
Looking at the company’s financial statements, the revenue increased by 7 percent from Rs. 20.92 crores during H1FY24 to Rs. 22.30 crores in H2FY24. Contrastingly, due to increase in expenditure, the net profits declined by 98 percent from Rs. 1.31 crores to Rs. 3 lakhs during the same timeframe.
Earlier, the company received a purchase order from a USA Inc. Jewellery company for the supply of Lab Grown Diamonds (CVD) of a total of 5,000 Carats amounting to USD 6,00,000 (Rs. 5.01 crores approximately).
In January 2024, the company also signed an MoU at the Vibrant Gujarat 2024 Summit for the purpose of growth and expansion in the existing line of business of lab-grown diamond manufacturing, natural diamonds, gems and jewellery Sector with a proposed investment of Rs. 102 crores and employment of 500 people.
In terms of key financial metrics, the company reported a Return on Equity (RoE) of 5.20 percent and a return on capital employed (RoCE) of 7.22 percent for the period spanning FY23-24. Further, during the same period, the net profit margin stood at 3.10 percent.
According to the latest shareholding pattern, the Promoters retain 68.01 percent ownership and the remaining 31.99 percent of shares are in the hands of Retail Investors.
Headquartered in Bhavnagar, Dev Labtech Ventures Limited was incorporated in 1993. The company is in the business of manufacturing, marketing and sourcing diamonds Natural and Lab-grown having wide applications in Jewellery.
Written By Vaibhav Patil
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