Stock engaged in the business of manufacturing, exporting, and supplying Discharge & Collecting Electrodes, Electrostatic Precipitator and many more jumped upto 10 percent in the day’s trade following plans to setup a new state-of-the-art Stainless Steel Pipe Mill.
Price Action (WA:ACT)
With a market capitalization of Rs. 106 Crores, the shares of Auro Impex & Chemicals Ltd (NS:AURX) were trading at Rs. 86.50 per equity share, up 8.4 percent from its previous day’s close price of Rs. 79.80.
What Happened
Auro Impex & Chemicals Limited has announced to setup a new state-of-the-art Stainless Steel Pipe Mill Manufacturing Unit with a production capacity of approximately 150 ton or more per month. For the new facility it has booked four S. S. Tig Mill, which has been dispatched and is expected to arrive by the middle of December, 2024.
The new plant will enhance the company’s production capabilities, enabling to meet the growing demand for high-quality pipes and help in generating a revenue of around Rs. 35 Crores per annum. The plant is expected to commence from January 2025.
About the Company
Auro Impex & Chemicals Limited is engaged in the business of manufacturing, exporting, and supplying Discharge & Collecting Electrodes, and Electrostatic Precipitator internal parts and spares.
Financials and Ratios
Its revenue from operations declined by 28 percent from Rs. 173 Crores in H1FY24 to Rs. 124 Crores in H1FY25, accompanied by profits of Rs. 3 Crores to Rs. 2 Crores.
In terms of return ratios, it has reported a return on equity (ROE) of 21.1 percent and a return on capital employed (ROCE) of 18.2 percent. In terms of liquidity, it has reported a debt-to-equity ratio of 1.06.
Written by: Bharath K.S
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The post Stock under ₹100 jumps 10% after company to setup steel pipe manufacturing facility appeared first on Trade Brains.
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