Multibagger Ethanol Stock Under Rs 60 Jumps Over 5 As Company Has Been Allocated With A Quantity Of 18.25 Crore Litres Of Ethanol for ESY 24-25

The stock gave multibagger returns of 700 per cent in 5 years and a whopping 1,360 per cent in a decade.

On Wednesday, shares of BCL Industries Ltd jumped over 5 per cent to Rs 58.45 per share from its previous closing of Rs 55.39. The stock’s 52-week high is Rs 86.25 while its 52-week low is Rs 45.70. The shares of the company saw a spurt in volume by more than 1.01 times on BSE.

The company informed that BCL Industries Limited along with its subsidiary Svaksha Distillery Limited had participated in a tender floated by Oil Marketing Companies (OMCs) under EBPP for Ethanol Supply Year (ESY 24-25) at their various locations across the country and the group, in its normal course of business, has been allocated with a quantity of 18.25 crore litres of Ethanol for ESY 24-25 which was 16.94 crore litres of Ethanol for ESY 23-24. The present allocation is about 17% higher than the previous allocation and it can be attributed to the additional 100 KLPD capacity addition Svaksha Distillery Limited during the financial year 2023-24.

About the Company

BCL Industries Limited, a prominent agro-processing company established in 1976, operates across edible oils, rice milling, grain-based distilleries, and real estate in Punjab and West Bengal. A part of the esteemed Mittal Group, the company boasts a market capitalization of over Rs 1,700 crore. BCL Industries Limited's strategic expansion has yielded impressive results, with a new plant at the Bathinda unit doubling its ethanol production capacity and another new plant in Kharagpur, along with a subsidiary expansion, boosting the total capacity to an impressive 700 KLPD. This growth aligns perfectly with the increasing demand for ethanol, as evidenced by a full order book from Oil Marketing Companies extending until November 2024.

According to Quarterly Results, the net sales increased by 47.66 per cent to Rs 658.51 crore and net profit increased by 24.1 per cent to Rs 24.51 crore in Q1FY25 compared to Q1FY24. In its annual results, the net sales increased by 21 per cent to Rs 2,200.62 crore in FY24 compared to Rs 1,819.92 crore in FY23 while the net profit increased by 49 per cent to Rs 95.92 crore in FY24 compared to Rs 64.36 crore in FY23.

An ace investor, Sangeetha S own a 1.13 per cent stake in the company as of September 2024. The stock gave multibagger returns of 700 per cent in 5 years and a whopping 1,360 per cent in a decade.

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