4,100 Per Cent Multibagger Returns: Double Dhamaka! Steel Stock In Focus as Board Likely To Announce Bonus Shares & Stock Split
The stock gave multibagger returns of 2,365 per cent in 5 years and a whopping 4,100 per cent in a decade.
JTL Industries Limited informed that a meeting of the Board of Directors of the company is scheduled to be held on Thursday, October 03, 2024, inter alia, to consider and approve the following items:
- The sub-division/ stock split of equity shares of the company having a face value of Rs 2 each shall be in such manner as the board may decide.
- The proposal to issue bonus shares to the company's equity shareholders.
- Increase in the authorised share capital of the company
- Consequent alteration of the memorandum of association of the company.
- Any other item with the permission of the chairman.
JTL Industries Limited has significantly expanded its production capabilities with the successful commissioning of a new Galvanized Iron (GI) plant in Mangaon, Maharashtra. This state-of-the-art facility adds a substantial 5,000 metric tons of capacity per quarter, enabling JTL to meet the growing demand for high-quality steel products. This expansion aligns with the company's strategic goal of increasing its Value-Added Product (VAP) share to 40-42 per cent by the end of the year.
The new GI plant is equipped with advanced technology, including the recently installed Direct Forming Technology (DFT), which is expected to further enhance production efficiency and product quality. This investment in cutting-edge equipment demonstrates JTL's commitment to innovation and its unwavering focus on delivering superior products to its customers. The expansion also reflects the company's confidence in the long-term growth prospects of the steel sector, as evidenced by the 15% increase in demand for steel products in recent years.
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About the Company
JTL Industries Limited is amongst the fastest-growing steel tube manufacturers, and its registered office is in Chandigarh. The company has manufacturing facilities in Punjab, Maharashtra, and Chhattisgarh. The cumulative capacity of the company is 5,86,000 MTPA for Steel Pipes and ~3,00,000 MTPA is backward integration. The company is a recognized Star Export House, and its product offering includes GI Pipes, MS Black Pipes, hollow sections, and Solar Structures, which cater to diverse industrial and infrastructural applications. All the products are available in hot dip galvanised, pre-galvanized and without coated (MS black) grades.
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.
Today, shares of JTL Industries Ltd surged 10 per cent to an intraday high of Rs 242.10 per share from its previous closing of Rs 219.90. The stock’s 52-week high is Rs 276.60 per share while its 52-week low is Rs 167.10 per share. The stock gave multibagger returns of 2,365 per cent in 5 years and a whopping 4,100 per cent in a decade.
Investors should keep an eye on this stock.
Disclaimer: The article is for informational purposes only and not investment advice.