Synopsis:
Krishca Strapping Solutions Ltd shares jumped after securing a Rs. 21.40 crore order from Vedanta Limited, Odisha, for wood runners, with a one-year execution timeline and possible extension. Additionally, ESL Steel orders were renegotiated and consolidated into a single Rs. 47.36 crore contract, reflecting expanded scope and long-term business visibility.
The shares of a micro-cap firm engaged in offering packaging solutions surged in trade on Tuesday after announcing fresh domestic orders, with the stock touching an intraday high following a major contract win.
Krishca Strapping Solutions Ltd, with a market capitalisation of Rs. 351.91 crore, opened at Rs. 220.50 against the previous close of Rs. 228.40. The stock climbed to an intraday high of Rs. 248, marking an 8.58 percent rise.
What’s the News?
The company announced the receipt of a domestic order worth Rs. 21.40 crore from Vedanta Limited, Odisha, for the supply of wood runners for its cast house. The contract is to be executed within one year from the date of the purchase order, with pricing valid for five years. Subject to satisfactory performance and wood quality, the order tenure can be extended for an additional four years.
Separately, the company updated that it had earlier received orders from ESL Steel Limited (Vedanta Group), Jharkhand, valued at Rs. 18.38 crore and Rs. 47.36 crore, aggregating to Rs. 65.74 crore. After renegotiations and scope enhancements, these were consolidated into a single revised order worth Rs. 47.36 crore, which is inclusive of the earlier Rs. 18.38 crore scope.
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Financial Snapshot
Krishca reported a return on equity (ROE) of 16.6 percent, return on capital employed (ROCE) of 20.2 percent, and return on assets (ROA) of 9.87 percent. The stock trades at a P/E ratio of 30, above the industry average of 23.4.
As of March 2025, The company posted a net profit of Rs. 12 crore on revenue of Rs. 149 crore, with total assets of Rs. 160 crore and fixed assets of Rs. 29 crore. Borrowings stood at Rs. 33 crore, with a debt-to-equity ratio of 0.32.
About the Company
Krishca Strapping Solutions Limited manufactures high tensile steel straps, seals, and strapping tools for packaging. Its products include KRISHCA PRIME, KRISHCA ULTRA PRIME, and KRISHCA SUPER PRIME, made from cold-rolled or heat-treated steel for varying strength and flexibility. The company also produces seals such as Snap-On, Thread-On, and Open-Flange, and offers a full range of manual and pneumatic strapping tools.
Written By – Manan Gangwar
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