1:2 stock split & Rs 39,872 crore order book: Debt-Free multibagger shipbuilding company reports stellar results; PAT jumps over 100 per cent in H1FY25
The stock gave multibagger returns of over 120 per cent in just 1 year and a whopping 1,350 per cent in 3 years.
On Wednesday, shares of Mazagon Dock Shipbuilders Limited (MDL) gained 3.18 per cent to Rs 4,348.45 per share from its previous closing of Rs 4,194.90. The stock’s 52-week high of Rs 5,859.95 while its 52-week low is Rs 1,797.10.
Mazagon Dock Shipbuilders Limited (MDL), a renowned Indian shipyard established in 1774, has a rich history of building a wide range of vessels, including warships, submarines, cargo/passenger ships, and offshore platforms. Having constructed over 800 vessels since 1960, MDL has consistently demonstrated its shipbuilding prowess. In recognition of its significant contributions to India's Defence industry, MDL was conferred the prestigious 'Navratna' status in June 2024, joining the ranks of India's top-performing public sector enterprises. This elevation is a testament to MDL's strong financial performance, consistent track record, and commitment to strengthening India's defence capabilities.
According to its Quarterly Results, the net sales increased by 51 per cent to Rs 2,756.8 crore and net profit increased by 82 per cent to Rs 552.8 crore in Q2FY25 compared to Q2FY24. Looking at its half-yearly results, the net sales increased by 28 per cent to Rs 5,113.9 crore and net profit increased by 106 per cent to Rs 1,218.7 crore in H1FY25 compared toH1FY24 In its annual results, the net sales increased by 24 per cent to Rs 10,568.05 crore and net profit increased by 73 per cent to Rs 1,936.97 crore in FY24 compared to FY23. As of September 30, 2024, the company is debt-free.
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Additionally, the Board announced stock split in the ratio of 1 :2 i.e., existing 1 equity share of face value of Rs 10 each fully paid up shall be sub-divided/ stock split into 2 equity shares of face value of Rs 5 each fully paid up. The expected time of completion of stock split is estimated to be approximately 2-3 months after receiving shareholder approval.
As of Septmber 30, 2024, the company’s order book stands at Rs 39,872 crore and as of September 2024, DIIs have increased their stakes to 1 per cent compared to 0.83 per cent in June 2024. The company has a market cap of over Rs 86,000 crore. The stock gave multibagger returns of over 120 per cent in just 1 year and a whopping 1,350 per cent in 3 years. Investors should keep an eye on this stock.
Disclaimer: The article is for informational purposes only and not investment advice.