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IT stock hits 5% upper circuit after receiving order from Govt of Himachal for computerization of bank

Published 06-11-2024, 11:18 am
Updated 06-11-2024, 04:15 pm
© Reuters. IT stock hits 5% upper circuit after receiving order from Govt of Himachal for computerization of bank
ATIS
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During Wednesday’s trading session, the shares of an IT consultancy and services company hit a 5 percent upper circuit to a new 52-week high at Rs. 211.35 on BSE, after receiving a work order worth Rs. 1.93 crores from the Director of Cooperation, Himachal Pradesh, for computerisation of banks.

With a market cap of Rs. 232 crores, the shares of Atishay Ltd (BO:ATIS) opened in the green at Rs. 211.35, compared to its previous closing price of Rs. 201.3.

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What’s the news:

According to the latest regulatory filings with the BSE, Atishay Limited has been awarded a significant work order worth Rs. 1.93 crores from the Director of Cooperation, Himachal Pradesh, for the computerization of Agriculture and Rural Development Banks (ARDBs).

The project involves the digital transformation of State Cooperative Agriculture and Rural Development Banks (SCARDBs), Primary Cooperative Agricultural and Rural Development Banks (PCARDBs), and their branches across all districts of Himachal Pradesh.

The aim is to enhance financial accessibility and improve operational efficiency within the region.

This initiative represents a significant milestone for Atishay, expanding its expertise and strengthening its market presence in the digitization of financial services for the agriculture and rural development sectors.

Previous Orders:

On 21st October, Atishay Limited secured a work order from The Jodhpur Central Cooperative Bank Limited, located in Jodhpur, Rajasthan, for Primary Agriculture Credit Societies (PACS) digitization in Rajasthan.

The work order involves the supply, installation, commissioning, and maintenance of Micro ATM devices as part of the PACS digitization initiative in the state, with an estimated value of Rs. 98.7 lakhs.

On 29th October, Atishay Limited was awarded another work order, valued at Rs. 16 crores, by the Director of Cooperation, Himachal Pradesh. This order was for the computerization of an additional 919 PACS across all districts of Himachal Pradesh.

Financials:

The company reported a significant growth in revenue from operations, experiencing a year-on-year increase of nearly 78 percent, rising from Rs. 7.3 crores in Q2 FY24 to Rs. 13 crores in Q2 FY25.

Likewise, during the same period, the company’s net profit increased from Rs. 1 crore to Rs. 1.5 crore, representing a significant growth of around 50 percent YoY.

Stock Performance:

The stock has delivered multibagger returns of nearly 356.5 percent in one year, as well as around 187.6 percent of positive returns in the last six months. So far in 2024, the shares of Atishay have given multibagger returns of about 390.7 percent.

About the company:

Established in 1989, Atishay Limited is primarily engaged in the business of Information Technology (IT), database management, software development, e-governance and retail fintech services.

Written by Shivani Singh

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