Multibagger power infra firm incorporates two subsidiaries to fulfill advance metering infra service contracts, FIIs increased stake by 8 times!

The stock has delivered a multibagger return of around 517 per cent in the past three years.

Genus Power Infrastructures Limited, established in 1992, operates as a division of the Kailash Group. Primarily, it specializes in the manufacturing and provision of Metering and Metering Solutions, alongside engaging in 'Engineering, Construction, and Contracts' on a turnkey basis, which constitutes its core business segment. Additionally, the company is involved in strategic investment activities.

As per the recent update the company has established two wholly owned subsidiaries: "GENUS BETA SMART METERING PRIVATE LIMITED" and "GENUS DELTA SMART METERING PRIVATE LIMITED," operating in the Power Infrastructure and Distribution Industry. These subsidiaries are formed as wholly owned subsidiaries (WOS) to fulfill the Advanced Metering Infrastructure Service Provider (AMISP) Contract. The consideration for the acquisition is entirely in cash, with Genus Power Infrastructures Limited subscribing to 100 per cent of the initial share capital in cash.

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Share Performance:

On Friday, the company's stock closed at around Rs 324.90 per share, with a market capitalisation of Rs 9868 crore. Additionally, the stock has delivered a multibagger return of around 278 per cent in the past year.

Financial Performance:

According to the Quarterly Results, in Q3 FY24, the company reported a revenue of Rs 258 crore, representing a growth of 29 per cent, and a net loss of Rs 10 crore. In FY23, the company reported a revenue of Rs 808 crore and a net profit of Rs 29 crore, compared to a net profit of Rs 57 crore in the previous year.

Investors must keep this Small-Cap stock on their radar.

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