Penny stock under Rs 60: Company partners with Rockingdeals Circular Economy Limited to strengthen Retail Footprint across India
The stock gave multibagger returns of over 250 per cent from its 52-week low of Rs 15.04 per share.
Cellecor Gadgets Limited is strategically expanding its offline retail presence through a new partnership with Rockingdeals Circular Economy Limited. This collaboration leverages Rockingdeals' established network of over 20 franchise stores to introduce Cellecor's latest consumer electronics range, including smart TVs, air conditioners, refrigerators, washing machines, and kitchen appliances, to a wider audience. By utilizing Rockingdeals' strong foothold in the Indian retail market, Cellecor aims to make its advanced technology more accessible, providing consumers with the opportunity to experience and purchase innovative products at competitive prices within a trusted retail environment.
Rockingdeals Circular Economy Limited, founded in 2002, has transformed the recommerce and retail landscape in India with its diverse product offerings spanning home appliances, electronics, fashion, and lifestyle products. Their established retail chain, built on principles of affordability, reliability, and quality assurance, provides an ideal platform for Cellecor to showcase its products. This partnership not only strengthens Cellecor's retail distribution but also reinforces both companies' commitment to the 'Make in India' initiative, supporting domestic manufacturing and boosting local production. The combined strengths of Cellecor's product innovation and Rockingdeals' retail expertise are poised to create a beneficial ecosystem for consumers and the broader electronics industry.
This strategic move signifies a key milestone in Cellecor’s growth strategy, complementing its existing e-commerce presence with a robust brick-and-mortar footprint. By offering its products through Rockingdeals stores, Cellecor is ensuring wider accessibility and enhancing the overall shopping experience for its customers. This collaboration enables consumers to physically interact with Cellecor’s products, facilitating informed purchasing decisions and solidifying Cellecor’s position as a leading name in the Indian consumer electronics market.
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About the Company
Cellecor Gadgets Ltd, founded in 2010, is an Indian company that sells consumer electronics under its brand name. They focus on providing affordable options for various devices, including smart TVs, mobile phones, smart watches, earphones and various accessories. Cellecor outsources the manufacturing of these products and then distributes them through a network of over 900 distributors, 25,000 retailers and 1200 service centres across 28 Indian states, with a strong presence in Uttar Pradesh, West Bengal and Gujarat.
Results: According to half-yearly results, the net sales increased by 103 per cent to Rs 425.71 crore, Profit before tax (PBT) increased by 106 per cent to Rs 19.67 crore and net profit increased by 108.3 per cent to Rs 14.62 crore in H1FY25 compared to H1FY24. In its annual results (FY24), the company reported net sales of Rs 500.45 crore, PBT of 20.71 crore and net profit of Rs 16.09 crore.
The company's shares have an ROE of 32 per cent and an ROCE of 30 per cent. As of October 2024, the promoters own 49.64 per cent of the company, FIIs own 2.92 per cent, DIIs own 1.54 per cent and the public owns 45.90 per cent. The stock gave multibagger returns of over 250 per cent from its 52-week low of Rs 15.04 per share.
Disclaimer: The article is for informational purposes only and not investment advice.