3,800 per cent returns & FIIs increase stake: Multibagger iron & steel stock in green after the company records its highest ever quarterly sales volume of 1,00,905 MT!

The stock gave multibagger returns of 1,100 per cent in 3 years and a whopping 3,800 per cent in a decade.

Today, shares of JTL Industries Limited surged 4.70 per cent to an intraday high of Rs 248.80 per share from its previous closing of Rs 228.95. The stock’s 52-week high is Rs 252.75 and its 52-week low is Rs 141.28.  

JTL Industries, a rapidly expanding steel tube manufacturer specializing in ERW black pipes, galvanized products, large diameter tubes, and hollow structures, is excited to present its performance update for Q3 and the first nine months of fiscal year 2024. Here are the details:

Quarterly Business Sales Volume Update: JTL Industries achieved its highest-ever quarterly sales volume of 1,00,905 MT in Q3FY24, driven by strong demand for its structural steel tubes and pipes. The 76 per cent YoY growth was fuelled by both domestic and international markets, particularly in infrastructure and industrial sectors. Value-added products also saw impressive growth, up 35 per cent YoY. While scheduled maintenance slightly impacted galvanized steel volumes, JTL has addressed the issue and expects to recover lost volume in upcoming quarters.

Looking at the year-to-date performance, JTL continues to break records, achieving its highest-ever 9-month sales volume of 259,933 metric tons (MT). This surpasses the entire FY23 volume of 240,316 MT and represents a remarkable 62.32 per cent year-over-year (YoY) growth. Value-added products also saw impressive gains, surging 46.79 per cent YoY from 54,837 MT in 9MFY23 to 80,497 MT in 9M FY24.

Capex Drive: In a bold move, JTL Industries is embarking on a transformative journey with a mega-capacity expansion project in Maharashtra. This Rs 1,310 crore undertaking, is partly funded by Rs 540 crore from promoters and Rs 270 crore from public and non-promoters, with the remaining Rs 500 crore. via QIP, will significantly boost JTL's manufacturing prowess. By adding new production lines, enhancing galvanized, pre-galvanized and colour-coated product capabilities, and integrating forward and backward, JTL aims to become a one-stop shop for all structural steel needs, solidifying its position as a leading player in the market. This ambitious project paves the way for a future of exponential growth and diversification for JTL.

The company achieved significant growth in both its quarterly and half-yearly results for FY24. Net sales and net profit rose substantially, driven by record-breaking sales volume of structural steel tubes and pipes. Notably, the half-yearly net profit more than doubled compared to the previous year, highlighting the company's strong performance. Overall, FY24 has been a year of robust growth and record-breaking sales for the company.

Foreign investors (FIIs) significantly boosted their ownership in the company during Q2FY24, nearly quadrupling their stake from 0.72 per cent to 2.67 per cent. Notably, BNP Paribas Arbitrage-ODI holds a significant 1.40 per cent stake. The company also rewarded shareholders with a 1:1 bonus share issue and a final dividend of Rs 0.2 per share, distributed on September 7, 2023 and August 4, 2023, respectively.

The stock gave multibagger returns of 1,100 per cent in 3 years and a whopping 3,800 per cent in a decade. Investors should keep an eye on this Small-Cap stock.

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