DIIs bought 2,33,222 shares: Mukul Agrawal’s portfolio aerospace & defence stock; Revenue surged 21 per cent & PAT rocketed 76 per cent
The stock gave multibagger returns of 575 per cent in 3 years and a whopping 6,825 per cent in 5 years.
PTC Industries Limited is a global leader in manufacturing precision metal components for critical and supercritical applications in sectors like defence, oil & gas and marine. They specialise in producing castings, machined components, and fabricated parts using a wide range of advanced materials, including titanium alloys, stainless steel and nickel-based alloys, to meet the stringent demands of these industries.
The company has a market cap of over Rs 15,000 crore and reported stellar numbers in its Quarterly Results (Q3FY25) and annual results (9MFY25). According to quarterly results, the net sales increased by 21 per cent to Rs 66.92 crore and net profit increased by 76 per cent to Rs 14.24 crore in Q3FY25 compared to Q3FY24. Looking at the nine-month results, the net sales increased by 1 per cent to Rs 186.16 crore and net profit increased by 33 per cent to Rs 36.45 crore in 9MFY25 compared to 9MFY24.
Aerolloy Technologies, a subsidiary of PTC Industries, achieved a significant milestone by commissioning a Vacuum Arc Remelting (VAR) furnace, becoming the first private Indian company to produce aerospace-grade Titanium alloy ingots. The German-made furnace, with a 1,500 MT annual capacity, allows for the production of large ingots, positioning Aerolloy among global leaders in Titanium alloy manufacturing for aerospace and defence. This advancement strengthens India's self-reliance in strategic materials and its position in the global aerospace supply chain. Furthermore, PTC Industries completed the acquisition of Trac Precision Solutions, a UK-based company specializing in precision-machined components for the Aerospace, Defence, and Power Generation sectors. This acquisition provides PTC with advanced manufacturing capabilities, including 5-axis CNC grinding and Electro-discharge machining, complementing PTC's expertise in titanium and superalloy castings.
DSIJ’s 'multibagger Pick’ service recommends well researched multibagger stocks with High Returns potential. If this interests you, do download the service details here.
This strategic acquisition and the VAR furnace commissioning, combined with the onboarding of Mr. Frederic Oudelet as the new Vice President of Engineering (Castings) at Aerolloy Technologies, create a comprehensive manufacturing value chain. The integration of Trac's advanced machining capabilities with PTC's material expertise allows for end-to-end solutions, from material development to precision-machined components. Additionally, Aerolloy Technologies' partnership with the Odisha government to establish an aerospace-grade Titanium Sponge manufacturing facility further solidifies PTC's position as a global leader in critical metals and components. This initiative, addressing India's reliance on imported titanium sponge, will make PTC one of the few companies worldwide with a fully integrated titanium production process, from sponge to finished products, boosting India's self-reliance in this crucial material.
As of December 2024, DIIs bought 2,33,222 shares and increased their stake to 6.49 per cent compared to September 2024 and Mukul Agrawal owns 1,60,000 shares or 1.07 per cent stake compared to December 2024. The stock gave multibagger returns of 575 per cent in 3 years and a whopping 6,825 per cent in 5 years. Investors should keep an eye on this aerospace defence stock.
Disclaimer: The article is for informational purposes only and not investment advice.