Rs 394 crore order book: This multibagger small-cap stock hit 52-week high as the company reports a 59 per cent jump in net profit!
The stock gave multibagger returns of 195 per cent in just 1 year and over 850 per cent returns in 2 years.
Today, one of the Top Gainers on BSE, shares of Dynamic Cables Limited jumped 13.30 per cent to make a new 52-week high of Rs 475 per share from its previous closing of Rs 419.25. The shares of the company saw a spurt in volume by more than 3 times on BSE.
Dynamic Cables Limited (DCL) released its financial results for the first quarter of fiscal year 2024 (Q1FY24), which ended on June 30, 2023. This announcement caused the company's stock price to suddenly rise. Details below:
1) The net sales increased by 15 per cent from Rs 158 crore in Q1FY23 to Rs 181.30 crore in Q1FY24.
2) The operating profit increased by 45 per cent from Rs 14.20 crore in Q1FY23 to Rs 20.50 crore in Q1FY24 on account of a favourable revenue mix and softening of input cost.
3) The net profit increased by 59 per cent from Rs 7.20 crore in Q1FY23 to Rs 11.40 crore in Q1FY24.
4) The order book stands at Rs 394 crore in Q1FY24 compared to Rs 331 crore order book as of March 31, 2023, an increase of 19 per cent.
5) The debtor's outstanding as on June 30, 2023 was Rs 180.50 crore.
Commenting on the results, Mr Ashish Mangal, Managing Director of Dynamic Cables Limited commented: “We are delighted to report strong performance in the first quarter of FY 2023-24, with a 15 per cent increase in revenue and 59 per cent increase in PAT compared to the previous year same quarter. In the quarter gone by we did exports of Rs 57.50 crore which was significantly higher as compared to our historical trends. We foresee a healthy business environment and long-term demand growth for power cables driven by multiple macro tailwinds.”
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DCL is the manufacturer of power infra cables that includes LV, HV, MV, EHV, Power control & instrumentation cables, and signalling cables. It supplies cables to government discoms, private distribution companies, private EPC contractors, and industrial and export clients. The company has 3 manufacturing plants situated at Jaipur and Reengus.
The company has a market cap of over Rs 1,000 crore with a 5-year stock price CAGR of 60 per cent. The shares of the company have a PE of 28.30x, a ROE of 19.28 per cent and a ROCE of 23.97 per cent.
The stock gave multibagger returns of 195 per cent in just 1 year and over 850 per cent returns in 2 years. Investors should keep an eye on this Small-Cap cable manufacturing stock under their watchlist.
Disclaimer: The article is for informational purposes only and not investment advice.