Shares of this industrial equipment manufacturer rose 5 percent after the company secured fresh orders worth Rs 588 crores from domestic as well as international sources.
With a market capitalization of Rs 2,389.14 crores, the stocks of Skipper Limited opened their trading hour on Monday at Rs 241.95 and currently trade at Rs 239, gaining around 5 percent as compared to the previous close of Rs 226.85 apiece.
Such bullish sentiments around the stock prices are observed today after the company, in a filing with the Bombay Stock Exchange (BSE), intimated that the company has won fresh orders totaling Rs 588 crores from domestic as well as international markets.
The domestic order pertains to the T&D business segment amounting to Rs 468 crores and the order is awarded from the ‘Power Grid Corporation of India Limited’ (PGCIL). In addition, the international order is for the T&D business as well which amount to Rs 120 crores.
“The consistent order inflows in the T&D business have led to a total order in-flow of YTD 1803 crores, registering an impressive 200% growth over last year till date. We expect the momentum to continue in T&D ordering in both Domestic and International markets with some more wins in the new future.”, commented Mr. Sharan Bansal, Director, Skipper Limited.
The company’s stock has portrayed phenomenal growth and delivered multibagger returns of 128 percent in the last six months. The same means that if someone had invested Rs 1 lakh into the company’s stock six months ago, it would have converted to Rs 2.28 lakhs.
Having a glance at the consolidated financials reported during the recent financial years, the company has successfully increased its operating revenues as well as after-tax profits with the former increasing from Rs 1,707.08 crores during FY21-22 to Rs 1,980.3 crores during FY22-23, and, the latter, during the same time horizon, taking a shift from Rs 25.15 crores to Rs 35.57 crores.
Moreover, there has been a consistent increase in the basic profitability metrics with the return on equity (RoE) improving from 3.49 percent during FY21-22 to 4.74 percent during FY22-23, and, the return on capital employed (RoCE) taking an upward shift from 9.85 percent to 12.14 percent.
The net profit margins also showed marginal movements rising from 1.46 percent during FY21-22 to 1.78 percent during FY22-23. The latest shareholding data of the company exhibits the Promoters holding a 71.89 percent stake and the remaining 28.11 percent stake held by the Public (retail) investors.
Skipper Limited is engaged in the business of manufacturing transmission and distribution (T&D) structures, PVC pipes & fittings. Deriving a majority of revenue from its Engineering products, the company conducts business activities throughout India but also exports its products to Europe, the Middle East, South America, Australia, and many other regions.
Written by Amit Madnani
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