Penny Stock Under Rs 10 in Focus as Company Renews Service Contract with Universal Mining & Chemical Industries Ltd (UMCIL)
The stock is down by 18.2 per cent from its 52-week high of Rs 9.50 per share while the stock is up by 61.5 per cent from its 52-week low of Rs 4.81 per share.
Today, shares of East West Freight Carriers Limited (earlier known as East West Holdings Ltd) plunged 1.85 per cent to Rs 7.41 per share same as its previous closing of Rs 7.55 per share.
East West Freight Carriers Limited (EWFCL) has successfully renewed its service contract with Universal Mining & Chemical Industries Ltd (UMCIL), a leading Zambian-owned manufacturer of iron and steel products. UMCIL, known for its high-quality products and its involvement in large-scale projects, has expressed satisfaction with the superior logistics support provided by EWFCL. This renewed partnership for 2025 is expected to generate substantial revenue for EWFCL, estimated to be between INR 5 to 7.5 crores.
UMCIL, a wholly Zambian-owned entity, specializes in transforming iron ore into a wide range of premium-quality finished steel products. Their commitment to excellence and their contributions to significant projects have established them as a prominent player in the industry. UMCIL's decision to renew the contract with EWFCL underscores their confidence in EWFCL's ability to consistently deliver reliable and efficient logistics solutions.
Earlier, the company secured a major contract with Raymond Lifestyle Ltd, a prominent player in the fashion industry. EWECL will now act as Raymond's Authorised Customs House Agent, handling customs clearance and providing comprehensive logistics services across their global supply chain. This strategic partnership, valued at approximately Rs 20 crore, will significantly boost EWECL's revenue and solidify its position as a leading logistics provider in India.
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About the Company
East West Freight Carriers Limited, a seasoned player in the Indian Freight Forwarding & Logistics industry, has been operating since 1976. With a rich legacy of over 45 years, the company provides top-notch global logistics and freight forwarding services. By embracing technological advancements and fostering strong relationships with industry bodies like LALA, FLATA, FFFAL, ACCAL, DACCAL, BCBA, and FIEQ, EWECL ensures seamless operations. Their extensive network of global airline and shipping line partnerships enables them to offer competitive pricing, efficient transit times, and reliable delivery solutions. Whether it's air freight, FCL, LCL, or specialized project cargo, EWECL caters to diverse client needs with tailored solutions and round-the-clock support.
According to Quarterly Results, the net sales increased by 57 per cent to Rs 68.21 crore in Q2FY25 compared to net sales of Rs 43.43 crore in Q2FY24. The company reported a net profit of Rs 0.09 crore in Q2FY25 compared to a net profit of Rs 0.09 crore in Q2FY24. In its annual results, the company reported net sales of Rs 208 crore in FY24 compared to net sales of Rs 250 crore in FY23. The company reported a net profit of Rs 7 crore in FY24 compared to a net loss of Rs 1 crore in FY23, an increase of 800 per cent.
East-West Holding Limited a micro-cap company has a market cap of over Rs 90 crore. The stock is down by 18.2 per cent from its 52-week high of Rs 9.50 per share while the stock is up by 61.5 per cent from its 52-week low of Rs 4.81 per share. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.