Real Estate Surprise: This small-cap stock with Rs 1,100 crore market cap achieves record sales; shares jump 5 per cent!

It reported best ever sales performance with a jaw-dropping 93 per cent YoY growth in FY23

The Indian stock market is witnessing a remarkable rally since the March 2023 lows, with the NSE benchmark Nifty50 index rallying over 800 points from the lows of the 16,828 level. While the rally has surprised even the bulls camp, what's more surprising is the recent rip-roaring rally in the down-and-out sector of Nifty Realty. 

Nifty Realty has seen a gain of over 12 per cent since the lows of March 29, 2023, registering a fresh 2-month high on Monday and emerging as one of the top-performing sectors of the day. The key catalysts behind this stunning rally have been the RBI's rate pause in its latest MPC decision and outstanding business updates reported by real estate companies. 

One such company that has stood out in the real estate sector is Ajmera Realty and Infra India Limited (ARIIL). With a market cap of nearly Rs 1,100 crore (Small-Cap), ARIIL has reported best ever sales performance with a jaw-dropping 93 per cent YoY growth in FY23, recording a sales value of Rs 140 crore in Q4FY23. The company's strong cash generation has paved the way for business development prospects and debt deleveraging, enhancing growth visibility and resulting in a firm growth of 35 per cent YoY in collections for FY23. The carpet area sold by ARIIL was 69,209 Sq.ft. in Q4 FY23 which was an incremental growth of 9 per cent from the 63,595 Sq. ft in Q3 FY23. 

These remarkable business updates have resulted in the market rewarding the company's shareholders, with the stock surging over 5 per cent on Monday. 

This raises the question, have you recently added any real estate stock to your portfolio? 

As the Nifty Realty sector continues to surge and more companies report positive business updates, investors are urged to keep a close eye on the sector's growth