Cable Penny Stock At Rs 10 In Focus As Company Bags New Orders Worth Rs 9.7 Crore From Adani Electricity Mumbai Limited
With a PE ratio of 15.5, the company trades at a discount compared to the industry PE of 23.7. The company has ROCE of 15.9 per cent and ROE of 17.3 per cent.
Ultracab India Limited has secured an annual rate contract worth Rs 9.70 crore from Adani Electricity Mumbai Limited for the supply of LT PVC cables of various sizes. The contract falls under the company’s ongoing expansion in the power distribution sector and is expected to contribute positively to its revenue growth.
Adani Electricity Mumbai, a subsidiary of Adani Transmission Limited, is one of the leading power distribution utilities in India, serving over 12 million consumers across a 400 sq km network in Mumbai and its suburbs.
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Under this contract, Ultracab India will complete the supply of LT PVC cables on or before March 2026. Ultracab India, a leading manufacturer and exporter of electric wires and cables, has been in the industry for over 26 years. This latest contract highlights the company’s strong market presence and commitment to delivering high-quality electrical solutions.
Ultracab, a leading manufacturer and exporter of electrical cables, also serves major clients like TATA, Adani, Jindal, Vedanta, Indian Railways, and several PSU companies. This approval strengthens Ultracab’s industry presence and expands its role in India’s infrastructure development.
In the Quarterly Results of December 2024, the revenue stood at Rs 57.24 crore, reflecting a YoY growth of 159.59 per cent and a QoQ increase of 3.04 per cent from Rs 55.55 crore in September 2024. The net profit for the quarter was Rs 2.70 crore, marking a YoY growth of 64.63 per cent and a QoQ increase of 7.57 per cent from Rs 2.51 crore. The net profit margin for December 2024 was 4.72 per cent, compared to 4.52 per cent in September 2024 and 7.44 per cent in December 2023.
For the financial year 2024, revenue was reported at Rs 124.06 crore, reflecting a growth of 15.78 per cent compared to Rs 107.15 crore in FY23. The net profit stood at Rs 9.11 crore, with a growth of 3.42 per cent from Rs 5.74 crore in the previous year. The net profit margin for FY24 was 4.63 per cent, compared to 5.18 per cent in FY23.
With a PE ratio of 15.5, the company trades at a discount compared to the industry PE of 23.7. The company has ROCE of 15.9 per cent and ROE of 17.3 per cent.
Investors must keep this micro-cap stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.