Shares of this micro-cap stock jumped around 13 percent in Monday’s trading session after the company announced financial results for Q2FY23-24, i.e., for the quarter ended September 2023.
With a market capitalization of Rs 34.46 crores, the stocks of Contil India Limited started their trading session on Monday at Rs 118.70 and currently trades at Rs 111.35, gaining approximately 13 percent compared to the previous closing levels of Rs 98.95 apiece.
Such sharp movements in the share prices were observed after the company, through a regulatory filing with the BSE, announced the financial results for the quarter ended September 2023.
On a sequential basis, the company reported an increase in both the prime business indicators such as operating revenues and net profits. The former rose from Rs 5.71 crores during Q1FY23-24 to Rs 7.08 crores during Q2FY23-24, and, the latter, keeping the timeframe the same, moved up from Rs 12.23 lakhs to Rs 29.17 lakhs.
In addition to the above, the company, on a yearly basis, showed positive movements in the metrics mentioned above with the operating revenues increasing from Rs 5.18 crores during Q2FY22-23 to Rs 7.08 crores during Q2FY23-24, and, the net profits, at the same time, shifted up from Rs 15.97 lakhs to Rs 29.17 lakhs representing an increase of around 83 percent.
Historically, the company, due to increased cost pressure, faced a dip in the basic profitability ratios such as the return on equity (RoE) and return on capital employed (RoCE).
The former moved down from 9.68 percent during FY21-22 to 8.85 percent during FY22-23, and, the latter, during the same period, stayed uniform at levels of 12.50 percent.
According to the shareholding pattern data available for the quarter ended September 2023, the company’s Promoters hold a 41.58 percent stake followed by the Public (retail) investors holding the remaining 58.42 percent stake in the company.
Contil India Limited is a company based in India that is engaged in the business of trading grocery items. The company’s product portfolio includes spices, ayurvedic items, beauty & cosmetics, flour, utensils, etc.
Written by Amit Madnani
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