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Small-Cap Chauffeur-Driven Car Provider Stock Rallies 20 Per Cent and Hits Upper Circuit Today – Profit Skyrockets from Rs 3 Crore to Rs 63 Crore!
Rakesh Deshmukh

Small-Cap Chauffeur-Driven Car Provider Stock Rallies 20 Per Cent and Hits Upper Circuit Today – Profit Skyrockets from Rs 3 Crore to Rs 63 Crore!

The company’s shares have delivered an impressive return of over 75 per cent to its shareholders.

Incorporated in February 1996, ECOS (India) Mobility & Hospitality Ltd is a leading provider of chauffeur-driven car rental services in India. The company operates through two primary business divisions. The first is Chauffeured Car Rentals (CCR), a B2C service where corporate clients hire car rental services for their employees, clients, guests, or visitors. The second division is Employee Transportation Services (ETS), offering tailored solutions to manage the daily transportation needs of employees between their homes and offices.

At the start of the day's trading session, shares of ECOS (India) Mobility & Hospitality Ltd opened at Rs 492.45 per share, compared to the previous day's closing figure of Rs 494.15 per share on the BSE. Currently, the shares are at Rs 592.95 per share. The stock has rallied 20 per cent today and hit the upper circuit, reflecting strong demand in the market. The company's current market capitalization stands at Rs 3557.70 crore. Additionally, the company’s shares have delivered an impressive return of over 75 per cent compared to its IPO issue price of Rs 334 per share.

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The company has not published the latest quarterly, in Sep 2023, ECOS (India) Mobility & Hospitality Ltd recorded a revenue of Rs 269 crore. The operating profit stood at Rs 47 crore with an operating profit margin of 17 per cent. The net profit stood at Rs 30 crore. Looking at the annual performance, the company generated a revenue of Rs 547 crore in FY24. The operating profit for FY24 was Rs 90 crore with a net profit of Rs 63 crore compared to a net profit of Rs 44 crore in FY23. The company’s net profit has surged from Rs 3 crore which was in FY21 to Rs 63 crore in just 3 years in FY24.

According to the company's shareholding pattern, the promoters hold a significant 67.75 per cent stake. Public investors own 17.93 per cent of the shares, while Foreign Institutional Investors (FIIs) hold 4.29 per cent and DIIs own 10.04 per cent.

Check out my recent article here.

Investors must keep this Small-Cap company on their radar.

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

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