Multibagger penny stock under Rs 70: This small-cap textile stock reports a 550 per cent increase in net profit!

Shares of this company jumped more than 60 per cent in the last six months.

R & B Denims has posted strong Quarterly Results in Q4FY24. Owning to the positive development in the company, the shares of the company locked in a upper circuit. The revenue of the company stood at Rs 120.47 crore which grew by 78.63 per cent YoY. The operating profit of the company stood at Rs 15.30 crore which grew by 133.32 per cent on a YoY basis, while the PAT of the company stood at Rs 7.42 crore, which increased by 552.95 per cent on a YoY basis.

R&B Denims Limited is the largest vertically integrated textile manufacturer in world with over 30 million meters capacity of denim. One of the few denim manufacturers capable of producing high-width denim up to 76 inches. The company offer large volumes of denim in similar colours as well as small lots in differentiated colors. The fabric finishing facility includes almost every type of possible finish on denims e.g. wet chemical application, foam application, over-dyeing, coating, resin application and the list is growing.

Shares of R&B Denims Limited have also delivered multibagger returns to their shareholders with an increase of about 110 per cent in the last one-year holding period. The company has a ROCE of 19.5 per cent and an ROE of 18 per cent, with a market capitalization of Rs 591 crore.

The stock has shown tremendous growth and investors should keep a close eye on this stock.

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