Small-cap stock below ₹50 reports 76% YoY profit. Rallies 32% in Q1FY24
Small-cap stock below ₹50: Rama Steel Tubes shares have remained under base building mode after ushering in 2023. The stock has delivered paltry 7 per cent YTD return to its shareholders. However, after ushering in the new financial year, the small-cap stock bottomed out and started moving upside.
In first quarter of the current financial year, Rama Steel Tubes share price ascended from ₹27.85 apiece levels to ₹36.90 per share levels on NSE, delivering more than 32 per cent return to its positional long term shareholders. In Q1FY24, the company has declared promising numbers as well. The small-cap stock reported over 30 per cent YoY rise in revenue from operations during April to June 2023 quarter.
In this quarter, company's revenue from operations grey from ₹240 crore to ₹312.5 crore. Company's EBITDA increased by 71.60 per cent from around ₹10 crore in Q1 FY23 to ₹17.14 crore in Q1 FY24 led by increase in contribution of value-added products, increasing scale of operations, and improved manufacturing efficiency. EBITDA Margins increased by 138 bps from 4.10 per cent in Q1 FY23 to 5.48 per cent in Q1 FY24.
Company's YoY PAT (profit after tax) increased by over 76 per cent to 7.46 crore during April to June 2023 quarter. Its PAT stood at ₹4.23 crore in first quarter of the previous financial year. Company's PAT margins increased on YoY basis at 2.38 per cent in Q1 FY24 against 1.74 per cent in Q1 FY23.
Read more on livemint.com
