Shares of this derivatives exchange company surged 9 per cent, thanks to its stellar Q2FY23 quarterly results!

This company has a 96.8 per cent in market share in India’s commodity futures market

The shares of Multi Commodity Exchange of India Ltd jumped 9 per cent and closed at Rs 1494.45. The stock opened at Rs 1375 and touched an intraday high of Rs 1500 and a low of Rs 1371.8, respectively.    

The company announced its latest September quarter results on October 22, when the market was closed. Strong Q2FY23 results are the reason why Multi Commodity Exchange of India Ltd stock outperformed the market today. 

The company held a 96.8 per cent market share in the commodity futures market for the first half of FY23. Revenue for the second quarter of FY23 rose 53 per cent YoY to Rs 127.4 crore. Net income for Q2FY23 increased by 94 per cent YoY to Rs 63.27 crore. The net profit margin in Q2FY23 remained solid at 43 per cent. In Q2 FY22-23, the average daily turnover of commodity futures contracts traded on the exchange dropped by 7.3 per cent from Rs 25,797 crore in Q2 FY22 to Rs 23,918 crore.   

Multi Commodity Exchange of India Limited (MCX) is India's largest commodity derivatives exchange, offering a platform for price discovery and risk management via online commodity derivatives trading. The Securities and Exchange Board of India's (SEBI) rules and regulations govern the exchange. 

Multi Commodity Exchange of India Limited has a market capitalisation of Rs 7621 crore and is currently trading at a PE multiple of 49.15x.