Rs 500 Million Business by Q4FY25: Penny Stock Below Rs 5 In Focus After Announcing Business Update For Specialty Chemicals & Compounds; Details Inside
The stock is up by 12.1 per cent from its 52-week low of Rs 3.05 per share.
On Thursday, shares of Vikas Ecotech Ltd gained 1.80 per cent to Rs 3.42 per share with an intraday high of Rs 3.42 per share and an intraday low of Rs 3.34 per share from its previous closing of Rs 3.36 per share. The stock’s 52-week high is Rs 5.63 and its 52-week low is Rs 3.05.
Vikas Ecotech Limited is proud to share remarkable updates highlighting the continued growth and success of its Specialty Chemicals & Compounds division. Demonstrating its strong market presence and commitment to excellence, the division has significantly expanded its footprint by adding several prominent clients to its esteemed customer portfolio during the current financial year. These include industry leaders such as Narmada Polymer (Abros Shoes), M.P. Birla Group’s Vindhya Telelinks Ltd, Lapp India Pvt Ltd., Calibre Speciality Elastomer India Pvt Ltd., Innovative Resins Pvt Ltd., Somi Conveyor Belting Ltd, Varindera Tools, Gardex, Harsoria Healthcare Pvt Ltd., SBD Medicare, Haleness Disposable Products LLP, Kothari Group, and many more.
This strategic expansion reflects Vikas Ecotech Limited’s ability to address diverse industry needs by delivering innovative, high-quality specialty compounds. Further bolstering this momentum, the Specialty Compounds division is on track to achieve a business of Rs 500 million by the end of Q4FY25. This projection not only signifies a robust financial outlook but also reaffirms Vikas Ecotech Limited’s leadership position in the specialty chemicals and compounds market. These achievements underscore the company’s unwavering dedication to sustainable growth, innovation and building lasting partnerships with clients across industries.
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About the Company
Vikas Ecotech, a leading manufacturer of speciality chemicals and polymers in Delhi, caters to a wide range of industries with stabilizers, plasticisers, and other additives. They are a unique player in the global market, being the only Indian manufacturer of organotin (a key stabilizer) with in-house R&D, and are constantly expanding through acquisitions, like a recent plasticizer business and a steel company for infrastructure projects. Vikas Ecotech also includes Vikas Organics, a well-established plasticizer producer with a strong domestic and international presence.
According to Quarterly Results, the net sales increased by 47 per cent to Rs 89.23 crore and net profit increased by 61 per cent to Rs 10.38 crore in Q2FY25 compared to Q2FY24. Looking at the half-yearly results, the net sales increased by 61 per cent to Rs 190.29 crore and net profit increased by 311 per cent to Rs 13.23 crore in H1FY25 compared to H1FY24. In FY24, the company reported net sales of Rs 258.63 crore, operating profit of Rs 19.78 crore and net profit of Rs 6.85 crore compared to net sales of Rs 402.67 crore, operating profit of Rs 24.82 crore and net profit of Rs 9.53 crore in FY23.
The company has a market cap of Rs 596 crore. The stock is up by 12.1 per cent from its 52-week low of Rs 3.05 per share. Investors should keep an eye on this penny stock.
Disclaimer: The article is for informational purposes only and not investment advice.