1:1 Bonus Share & FIIs Increase Stake: Multibagger Steel Tube Manufacturing Stock in Green as Board opens QIP at floor price of Rs 221.57 per share!

The stock gave multibagger returns of over 300 per cent in 3 years and a whopping 1,950 per cent in 5 years.

Today, shares of JTL Industries Ltd gained 0.77 per cent to an intraday high of Rs 228 per share from its previous closing of Rs 227. The stock’s 52-week high is Rs 276.60 per share while its 52-week low is Rs 167.10 per share.

The board of directors of the company at its meeting held on December 18, 2023, and the special resolution passed by the members of the company on January 18, 2024 the fund-raising committee, at its meeting held on July 18, 2024, inter alia, passed resolutions for the following:

• Approved and declared the opening of the issue on July 18, 2024.
• Approved and adopted the preliminary placement document dated July 18, 2024, and the application form dated July 18, 2024 in connection with the issue.
• Approved the floor price of Rs 221.57 per equity share for the issue as prescribed under SEBI ICDR Regulations.
• Raising of funds by way of issue of equity shares, through a QIP, in accordance with the SEBI ICDR Regulations.

JTL Industries Limited, a leading steel tube manufacturer with headquarters in Chandigarh, boasts a significant production capacity of 5,86,000 MTPA for pipes and 3,00,000 MTPA for backward integration across its facilities in Punjab, Maharashtra, and Chhattisgarh. The company offers a diverse range of products including GI pipes, MS pipes, hollow sections, and solar structures, all available in galvanized, pre-galvanized, and black steel grades, catering to various industrial and infrastructure needs. JTL's recent successful acquisition of Nabha Steels and Metals strengthens its backward integration strategy, allowing for greater control over production and potentially higher profits. With strong initial sales from Nabha and a focus on expanding value-added products to contribute 50 per cent of total sales, JTL Industries Limited is positioned for further growth, leveraging its high-quality products and growing export volumes to capture opportunities in the global market.

JTL Industries, a manufacturer of steel tubes, reported solid financial results for Q1FY25. Revenue grew to Rs 515.38 crore from Rs 504.80 crore in the same period last year, reflecting a 2.10 per cent increase. This growth was driven by factors like strategic market expansion, increased product demand, and higher sales volumes. JTL's profitability also improved in Q1FY25. EBITDA rose 20.8 per cent to Rs 43.86 crore, leading to an EBITDA margin of 8.50 per cent, up from 7.20 per cent in the previous year. This improvement reflects JTL's focus on high-margin products and operational efficiency. Net profit also grew by 21.0 per cent to Rs 30.70 crore.

In Q1FY25, FIIs increased their stake to 5.82 per cent compared to 4.48 per cent in March 2024. On September 07, 2023, the shares of the company ex-traded bonus share in the ratio 1:1 and earlier to it i.e., on August 04, 2021, the shares of the company ex-traded stock split of equity shares from a face value of Rs 10 to a face value of Rs 2 each. The stock gave multibagger returns of over 300 per cent in 3 years and a whopping 1,950 per cent in 5 years. Investors should keep an eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice. 

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