This micro-cap company commissions a new CPVC machine at its Rajkot plant to boost sales volume in fast-growing plumbing segment!

Kiran Shroff
/ Categories: Trending, Mindshare
This micro-cap company commissions a new CPVC machine at its Rajkot plant to boost sales volume in fast-growing plumbing segment!

The stock gave multibagger returns of 603 per cent in just 1 year, up 1,658 per cent in 2 years, and over 3,000 per cent in the span of 3 years.

Captain Pipes Ltd (BSE: 538817), one of the leading companies in the PVC Pipes industry, has announced the company has recently commissioned its new CPVC machine at the Rajkot plant. This will increase our installed capacity by 1100 MT per annum and help expand the product range in CPVC pipes up to 100 mm (4 inches) diameter as per ASTM standards.

In addition to this, the company has also completed the commissioning of SWR fittings moulds conforming to BIS specifications in FY23. Together these two capacity additions will help the company cater to demand from fast growing plumbing segment and are expected to positively impact sales volume by 15 per cent to 20 per cent.

Incorporated in 2010, Captain Pipes Limited (CPPL) has established itself as one of the leading brands in the PVC pipes industry with its plant at Rajkot, Gujarat. CPPL has a complete range of PVC pipes and fittings for application in agriculture and plumbing. CPPL has consistently expanded its product portfolio, geographical reach and thrust on regional brand awareness to capture demand from the household, real estate, agriculture and infrastructure segment. The company had a market cap of Rs 387.55 crore.

According to the financials, the net sales rose by 2.02 per cent to Rs 42.54 crore and EBITDA increased by 128 per cent to Rs 3.04 crore in H2FY23 over H2FY22. The company reported a net profit of Rs 1.64 crore in H2FY23 compared to Rs 4.78 crore in H2FY22. The net sales increased by 3.36 per cent to Rs 85.50 crore and EBITDA increased by 48.14 per cent to Rs 4 in FY23 over FY22.

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On Wednesday, shares of Captain Pipes Ltd gained 4.44 per cent to an intraday high of Rs 28 per share from its previous closing of Rs 26.81. At 03:30 am, shares of the company ended the trading session in the green, up 3.66 to Rs 27.79 per share with a spurt in volume by more than 6.61 times on BSE. The stock gave multibagger returns of 603 per cent in just 1 year, up 1,658 per cent in 2 years, and over 3,000 per cent in the span of 3 years.

The stock has a 52-week high of Rs 35.79 and a 52-week low of Rs 3.96. Investors should keep an eye on this micro-cap stock.

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

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