Transformer manufacturing company bags new orders worth Rs 5,41,00,000 from Tata Group Companies
The stock is up by 61.6 per cent from its 52-week low of Rs 75.50 per share and gave multibagger returns of 1,250 per cent in 3 years.
Alfa Transformers Limited, a prominent manufacturer of small distribution transformers and provider of associated technical services, has secured a significant orders from three key entities within Odisha, India from Tata Group Companies. The company's Bhubaneswar plant has received purchase orders amounting to Rs. 2.57 Crore from TP Northen Odisha Distribution Limited (TPNODL), Rs. 2.49 Crore from TP Central Odisha Distribution Limited (TPCODL), and Rs. 0.35 Crore from TP Southern Odisha Distribution Limited (TPSODL). These orders encompass the design, manufacturing, and supply of various transformers, including 100KVA 11/0.4KV AL and 250KVA 11/0.4KV CU transformers from TPNODL and TPCODL, and a 7-11KV 1MVA Line Voltage Transformer from TPSODL.
All orders have been awarded by domestic entities within India and are of a domestic nature. The execution timeline for these orders is within 120 days from the date of order receipt for both TPNODL and TPCODL and within 3 months for TPSODL. With a combined value of Rs 5.41 crore, these orders represent a significant achievement for Alfa Transformers Limited and further solidify their position as a leading player in the Indian transformer market.
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On Tuesday, shares of Alfa Transformers Limited gained 2.91 per cent to Rs 122 per share from its previous closing of Rs 118.55 per share. The stock’s 52-week high is Rs 162.95 per share and its 52-week is Rs 75.50 per share.
The company has a market cap of Rs 110 crore and has delivered good profit growth of 47.5 per cent CAGR over the last 5 years. The stock has a high ROE of 42 per cent. According to Quarterly Results, the company reported net sales of Rs 17.11 crore and net profit of Rs 0.98 crore in Q2FY25. In its annual results, the net sales increased by 77 per cent to Rs 50.97 crore and net profit increased by 655 per cent to Rs 7.63 crore in FY24 compared to FY23.
The stock is up by 61.6 per cent from its 52-week low of Rs 75.50 per share and gave multibagger returns of 1,250 per cent in 3 years. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.