Penny Stock Under Rs 15 with 600 Per cent Returns: Multibagger Garment Manufacturer Secured Repeat Export Order Worth Rs 9.36 Crores from a Dubai-based Textile Company!
The stock has delivered a remarkable 602.05 return over the past three years.
SBC Exports Ltd has secured a significant repeat export order valued at approximately Rs 9.36 crores from Gawgee Brothers Wholesalers Co. LLC, a Dubai-based textile company. This order involves the supply of various garment articles such as T-shirts, trousers, and shorts.
The company has also entered into a strategic partnership with Gawgee Brothers to supply garments to the Day to Day retail chain in Dubai, a well-known retail destination in the UAE. This collaboration is expected to enhance SBC Exports' global reach and contribute positively to its revenue growth, aligning with the company's vision to expand its international presence. The agreement includes terms such as payment within 90 days of goods receipt, a minimum shipment size of 20,000 pieces, and all expenses related to insurance and freight being borne by the buyer. The order is set to be executed within one year from the purchase order date, March 23, 2025. Notably, SBC Exports' stock has delivered a remarkable 602.05 per cent return over the past three years, highlighting its status as a multibagger stock.
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As of March 24, 2025, the current stock price of SBC Exports Ltd is Rs 12.61. The stock has a 52-week high of Rs 24.57 and a 52-week low of Rs 11.52. Market capitalisation stands at Rs 5,933.33 crores.
SBC Exports Limited, incorporated in 2011, operates in the trading and manufacturing of garments, manpower supply, and tour operator services. The company began as a trader of handmade carpets and handicraft items in Mirzapur and has since established integrated facilities for dyeing, printing, stitching, and packaging. SBC Exports has diversified into the fast-growing travel services sector through its wholly-owned subsidiary, Mauji Trip Limited.
The company operates four manufacturing facilities with significant production capacities and plans to set up an additional unit in Ghaziabad to cater to export markets. Its product portfolio includes over 120 SKUs in garments, and it has recently launched a new brand, F-ROUTE, targeting various customer segments. SBC Exports also offers IT and IT support services, as well as tours and travel services. The company boasts a distribution network of over 400 distributors across 12 states and an e-commerce platform. With a strong overseas presence in countries like Saudi Arabia, Qatar, and the UAE, SBC Exports reported a revenue split of 57 per cent from garment sales and 43 per cent from services in FY24.
In the Quarterly Results of December 2024, the company reported a revenue of Rs 50 crore, reflecting a YoY growth of 4.62 per cent compared to Rs 48 crore in December 2023. The operating profit stood at Rs 2 crore, marking a decline of 59.58 per cent from Rs 4 crore in the same quarter last year. The profit after tax (PAT) increased by 15.14 per cent to Rs 3 crore from Rs 3 crore in December 2023.
In FY24, the company posted a revenue of Rs 193 crore, registering a decline of 9.69 per cent compared to Rs 214 crore in FY23. The net profit for the year stood at Rs 9 crore, up 37.68 per cent from Rs 7 crore in the previous financial year.
With a PE ratio of 35.9, the company trades at a premium compared to the industry PE of 22.8. The company has ROCE of 24.5 per cent and ROE of 23.91 per cent.
Investors must keep this Small-Cap penny stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.