Synopsis: Capital goods stock hit the 5 percent upper circuit after reporting a 488 percent YoY jump in Q1 FY27 net profit, backed by strong revenue and EBITDA growth.
The share of this company, which has undergone a massive business transformation, pivoting from information technology and agro-products into the steel and infrastructure sector, gained investor traction after poosting strong Q1 numbers
With a market capitalization of Rs 18 crore, Magnus Steel & Infra Ltd’s share on Thursday made a day high of Rs 52.04 per share, up by 5 percent hitting upper circuit in day’s trade from its previous day’s close price of Rs 49.57 per share. The share of this company gave a return of 444.92 percent over the last year.
Result Overview
QoQ View
Revenue grew by 2.24 percent to Rs 7.30 crore in Q1 FY27 from Rs 7.14 crore in Q4 FY26, and EBIDT grew by 58.55 percent to Rs 2.41 crore in Q1 FY27 from Rs 1.52 crore in Q4 FY26. Accompanied by a net profit growth of 58.55 percent to Rs 2.41 crore in Q1 FY27 from Rs 1.52 crore in Q4 FY26, resulting in an EPS growth of 58.62 percent to Rs 0.46 per share in Q1 FY27 from Rs 0.29 per share in Q4 FY26.
YoY view
The Revenue grew by 274 percent YoY to Rs 7.30 crore in Q1 FY27 from Rs 1.95 crore in Q1 FY26, and EBIDT grew by 402 percent to Rs 2.41 crore in Q1 FY27 from Rs 0.48 crore in Q1 FY26. Accompanied by a net profit growth of 488 percent to Rs 2.41 crore in Q1 FY27 from Rs 0.41 crore in Q1 FY26, resulting in an EPS growth of 475 percent to Rs 0.46 per share in Q1 FY27 from Rs 0.08 per share in Q1 FY26.
Shareholding Pattern
As of Q1 FY27, the company’s shareholding pattern saw a sharp change. The promoter holding declined significantly to 12.19 percent from 47.60 percent in the previous quarter, while public shareholding increased to 87.81 percent from 52.40 percent. There were no holdings by Foreign Institutional Investors (FIIs) or Domestic Institutional Investors (DIIs) during the quarter.
About the Company
Magnus Steel and Infra Ltd is a company operating primarily in the trading segment of the iron and steel industry. Established in 1978, the company has undergone significant corporate identity shifts, transitioning from retail and information technology services toward steel and infrastructure. Its primary business involves trading steel products, serving industrial and development projects.
The company’s shares are currently trading at a P/E of 2.70x, which is well below the industry average P/E of 30.1x, indicating an attractive valuation. The company also reported strong profitability, with a Return on Capital Employed (ROCE) of 171 percent and a Return on Equity (ROE) of 465 percent. In addition, it has a debt-to-equity ratio of 0.52, reflecting a manageable debt position.
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