This Penny stock Company Received Multiple Orders worth Rs 10.23 crores from Railway, Irrigation and Steel Companies; Stock Price Locked in 5 per cent Upper Circuit
With a PE ratio of 15.5, the company trades at a discount compared to the industry PE of 23.7. The company has ROCE of 15.9 per cent and ROE of 17.3 per cent.
On Friday, shares of Ultracab (India) Ltd locked in a 5 per cent upper circuit to Rs 11.5 per share from its previous closing.
Ultracab (India) Ltd, a leading manufacturer of electrical wires and cables, has received multiple orders worth Rs 10.23 crore for the supply of LT XLPE/PVC cables. The orders have been placed by Western Railway, Jain Irrigation Systems Ltd, Jindal Stainless Limited, Jindal Coke Limited, Jindal Ferrous Limited, and GK Energy Marketers Private Limited.
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The contracts involve the supply of various sizes of LT XLPE/PVC cables, which are widely used in railway infrastructure, irrigation systems, and industrial projects. The company plans to complete all deliveries by September 2025.
Ultracab is known for its strong presence in the electrical cable industry and serves major corporate clients, including TATA Group, Adani Group, Jindal Group, Vedanta Group, Indian Railways, and various public sector units (PSUs) like EIL, PGCIL, SAIL, BPCL, MRPL, NPCIL, and BHEL.
Earlier, the company has received approval to supply wires and cables to Larsen & Toubro (L&T) for its ongoing projects across multiple sectors, including defence, digital energy, hospitals, metros, nuclear plants, power transmission, renewables, transportation, and smart city solutions.
L&T, a multinational conglomerate headquartered in Mumbai, operates in over 50 countries with manufacturing units in eight nations outside India.
Ultracab, a leading manufacturer and exporter of electrical cables, also serves major clients like TATA, Adani, Jindal, Vedanta, Indian Railways, and several PSU companies. This approval strengthens Ultracab’s industry presence and expands its role in India’s infrastructure development.
In the Quarterly Results of December 2024, the revenue stood at Rs 57.24 crore, reflecting a YoY growth of 159.59 per cent and a QoQ increase of 3.04 per cent from Rs 55.55 crore in September 2024. The net profit for the quarter was Rs 2.70 crore, marking a YoY growth of 64.63 per cent and a QoQ increase of 7.57 per cent from Rs 2.51 crore. The net profit margin for December 2024 was 4.72 per cent, compared to 4.52 per cent in September 2024 and 7.44 per cent in December 2023.
For the financial year 2024, revenue was reported at Rs 124.06 crore, reflecting a growth of 15.78 per cent compared to Rs 107.15 crore in FY23. The net profit stood at Rs 9.11 crore, with a growth of 3.42 per cent from Rs 5.74 crore in the previous year. The net profit margin for FY24 was 4.63 per cent, compared to 5.18 per cent in FY23.
With a PE ratio of 15.5, the company trades at a discount compared to the industry PE of 23.7. The company has ROCE of 15.9 per cent and ROE of 17.3 per cent.
Investors must keep this micro-cap stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.