The shares of the air pollution control equipment supplier gained up to 4 percent after the company bagged significant new work orders from Bhel Heavy Electricals Ltd for Rs 5.61 crore.
With a market capitalization of Rs 91.99 crore, the shares of Auro Impex & Chemicals Ltd were trading at Rs 75.40 per share, decreasing around 0.13 percent as compared to the previous closing price of Rs 75.50 apiece.
Reason for rise
According to the company filing, Auro Impex & Chemicals Ltd bagged significant new work orders from Bhel Heavy Electricals Ltd for the manufacturing and supply of ESP Internals. The aggregate value of the order is Rs 5.61 crore.
Financial analysis
Examining the company’s financial performance, revenue fell by 38 percent from Rs 133 crore in H1FY24 to Rs 82 crore in H1FY25, during the same time frame, net profit shrunk by 33 percent from Rs 3 crore to Rs 2 crore.
Manufacturing Facility
The company’s West Bengal manufacturing facility spans 2.44 acres, featuring four production lines: two for collecting plates, one for discharge electrodes, and a pipe mill for discharge electrodes, ensuring backward integration to streamline production efficiency and enhance operational capabilities.
Expansion
The company has established four S.S. Tig mills for stainless steel pipe manufacturing with a 150-ton monthly capacity, targeting ₹30-40 crore annually. Additionally, it plans capital expenditure for high-frequency transformer rectifiers (HFTR) production and is bidding for Indian Railways tenders.
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Ratio analysis
The company’s critical ratios show that the return on equity decreased from 44.49 percent in FY22-23 to 15.99 percent in FY23-24, while the return on capital employed decreased from 42.15 percent to 23.54 percent. The net profit margin (NPM) for fiscal year 23-24 is 2.38 percent.
Shareholding pattern
In the company’s recent shareholding pattern, the Promoters of the company own 71.55 percent while Retail shareholders own a 28.45 percent stake in the company and domestic Institutional Investors own a 0 percent stake.
Company profile
Auro Impex & Chemicals Limited specializes in the manufacturing of collecting electrodes, discharge electrode plate steel structures, and other internal components of an electrostatic precipitator (ESP) a filtration device used to remove smoke and fine dust particles from flowing gas.
Written by Abhishek Singh
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