Rs 619.30 Crore Order Book: Cable Penny Stock Under Rs 80 In Focus As Company Achieves Status of Being Largest Manufacturer-Exporter of Electric Wires & Cables
The stock gave multibagger returns of 440 per cent in just 3 years and a whopping 750 per cent in 5 years.
Paramount Communications Ltd has emerged as the leading manufacturer-exporter of Electric Wires and Cables in India for the year 2024. This achievement is based on HSN code 854449, which covers electric wires and cables rated up to 1,000 volts, according to data from the Indian Customs Export (source: https:/fwww.volza.com).
Paramount Communications Ltd has also achieved significant growth in its direct exports to the United States. The company's direct US exports for the calendar year 2024 reached USD 43 million on a Free Board (FOB) basis, reflecting a 36 per cent increase compared to USD 31 million in the calendar year 2023. This impressive growth highlights Paramount Communications Ltd.'s strong position in the US market for electrical wires and cables.
Paramount Communications Ltd produces a variety of wires and cables, including power cables, telecom cables, railway cables, and specialised cables. The company boasts a substantial client base, including esteemed organisations such as Larsen & Toubro, Steel Authority of India (SAIL), BSES, Bharat Heavy Electrical Ltd, Power Grid Corporation, BSNL, Tata Steel, Alcatel Lucent Enterprises, ISRO, Indian Railways, Indian Oil, NTPC, among others.
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The company reported strong financial performance for both the second quarter of fiscal year 2025 (Q2 FY25) and the half-yearly 2025 (H1FY25). In Q2FY25, net sales surged 41 per cent to Rs 355.89 crore, operating profit climbed 45 per cent to Rs 33.59 crore and profit after tax (PAT) soared 4.3 per cent to Rs 20.33 crore compared to the same period last year. For the entire H1FY25, net sales grew 46 per cent to Rs 676.95 crore, operating profit increased 52 per cent to Rs 63.50 crore and PAT jumped 34 per cent to Rs 45.63 crore compared to H1FY24.
The company has a robust order book of Rs 619.3 crore and is experiencing strong sales across all product lines, especially power and railway cables. Export sales have remained steady compared to the previous fiscal year. Increased production is driving cost efficiencies and improving profitability. The company's shares have an ROE of 19 per cent and an ROCE of 15 per cent. The stock gave multibagger returns of 440 per cent in just 3 years and a whopping 750 per cent in 5 years. Over a decade, the stock has soared from Rs 2.65 per share to Rs 75.59 per share, achieving multibagger returns of 2,752 per cent. Investors should keep an eye on this cable manufacturing stock.
Disclaimer: The article is for informational purposes only and not investment advice.