Synopsis :-
Small-cap Steel stock Jumps 8 percent after signing MoU’s worth Rs. 500 crore to boost export footprints.
A Small-cap company that manufactures Mosquito Repellent Coils and value-added secondary metal products, is in the spotlight after signing an export Memorandums of Understanding worth Rs. 500 crore.
With the market capitalization of Rs. 1,731.45 crore, the shares of Manaksia Coated Metals & Industries Limited closed at Rs. 163.60, up by 7.28 percent from its previous day’s close price of Rs. 152.50 per equity share. The stock has touched an intraday high of Rs. 164.99, implying an Upside of 8.19 percent from previous day’s closing price.
What’s the News?
Manaksia Coated Metals & Industries Limited has signed MoUs worth Rs. 500 crore with European clients to supply 50,000 metric tonnes of pre-painted steel coils, Alu-Zinc coated coils, and galvanized steel products over the next year. The agreements will boost export growth, enhance capacity utilization, and strengthen the company’s European market presence.
The MoUs mark MCMIL’s expansion in European export markets and are expected to boost export revenue, which contributed 70 percent of total revenue in H1 FY26. They strengthen partnerships with European clients for repeat orders and support capacity expansion from 180,000 MT to 236,000 MT through new ALU-ZINC and Color Coating Line upgrades.
Management View
According to Mr. Karan Agrawal, Whole Time Director of Manaksia Coated Metals & Industries Limited, the signing of the MoUs marks a key milestone in strengthening the company’s global market presence. He highlighted ongoing efforts toward a 7.0 MWp renewable energy project to enhance cost efficiency and reduce grid dependency. He also noted that the company’s credit rating upgrade by Acuité reflects strong financial fundamentals, and with upcoming capacity expansions and technology upgrades, MCMIL is poised for a new phase of growth in the global coated metals industry.
About the Company
Manaksia Coated Metals & Industries Limited (MCMIL) is engaged in the manufacturing and export of coated steel products, including pre-painted galvanized steel and plain galvanized steel in both coil and sheet forms. These value-added steel materials are produced at the company’s facility in Kutch, Gujarat, and are widely used in construction, automotive, appliances, and general engineering industries.
The company operates with two manufacturing plants, four branch offices, and five stockyards with service centers to ensure nationwide delivery. Its strategically located Kutch facility, near Kandla and Mundra Ports, provides logistical advantages for imports, exports, and coastal trade, allowing MCMIL to efficiently serve both domestic and international markets.
Manaksia Coated Metals & Industries Ltd reported a strong performance in Q2FY26 with revenue rising 25.71 percent year-on-year to Rs. 220 crore from Rs. 175 crore in Q2FY25 but down 12 percent quarter-on-quarter from Rs. 250 crore in Q1FY26. Net profit grew 600 percent YoY to Rs. 14 crore from Rs. 2 crore, and remained flat sequentially.
A return on equity (ROE) of about 8.43 percent, a return on capital employed (ROCE) of about 15.6 percent and Debt to Equity ratio stands at 0.31, demonstrating the company’s financial position. At the moment, the company’s P/E ratio is 44x higher as compared to its industry P/E 24.2x.
Written by Akshay Sanghavi
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