Trackpad

Vishnu Chemicals announces 1:5 stock split! 

Vishnu Chemicals Limited epitomises manufacturing of high-performance speciality chemicals, with strong market leadership and an intelligent symphony of forward and backward integration, to produce world-class products that are focused on diverse needs and aspirations of its customers across more than 60 countries. The company, while announcing its quarterly earnings on Monday, stated that its board has approved the proposal for a 1:5 stock split or sub-division of shares. It means for a split of 1 share at a face value of ₹10 each, into 5 equity shares at a face value of ₹2 each. The rationale behind the split is to enhance the liquidity in the capital market, to widen shareholder base and to make the shares more affordable to small investors. In Q2FY23, the company continues to report record quarterly sales, EBITDA and PAT. Consolidated domestic and exports sales continued its growth trend, growing by 57 per cent and 53 per cent YoY. Expansion of +245 bps in EBITDA margin YoY and +250 bps in PAT margin YoY in Q2FY23. Unwavering focus on manufacturing had led the company to be a global leader in terms of gross asset turnover and ROCE amidst peers. Gross asset turnover and ROCE reached highest levels of 2x and 35 per cent plus, respectively. The company continues to improve its working capital efficiency resulting in reduction in inventory and debtor days. 

Multi Commodity Exchange announces stellar Q2FY23 results!

Multi Commodity Exchange announced its latest September quarter results on October 22, when the market was closed. Strong Q2FY23 results are the reason why Multi Commodity Exchange of India Ltd stock outperformed the market today. The company held a 96.8 per cent market share in the commodity futures market for the first half of FY23. Revenue for the second quarter of FY23 rose 53 per cent YoY to ₹127.4 crore. Net income for Q2FY23 increased by 94 per cent YoY to ₹63.27 crore. The net profit margin in Q2FY23 remained solid at 43 per cent. In Q2 FY22-23, the average daily turnover of commodity futures contracts traded on the exchange dropped by 7.3 per cent from ₹25,797 crore in Q2 FY22 to ₹23,918 crore. Multi Commodity Exchange of India Limited (MCX) is India's largest commodity derivatives exchange, offering a platform for price discovery and risk management via online commodity derivatives trading. The Securities and Exchange Board of India's (SEBI) rules and regulations govern the exchange. Multi Commodity Exchange of India Limited has a market capitalisation of ₹7621 crore and is currently trading at a PE multiple of 49.15x.
 

Gravita India announces start of commercial production of recycled polypropylene granules from its new plant!

Gravita India’s business is organised across four specialised verticals namely, lead recycling (flagship), aluminium recycling, plastic recycling, and turnkey projects. The company also has expertise in the recycling of used batteries, cable scrap/ other lead scraps, aluminium scrap, plastic scrap, etc. In a recent development, the company announced that its step-down subsidiary situated in Ghana (West Africa) has started commercial production of recycled polypropylene granules from its new recycling plant, having an annual capacity of around 1,200 MTPA in phase 1. Further, the company also has plans to increase this capacity to 2,700 MTPA in the next phase. The company is already having similar plastic recycling facilities in Senegal, Mozambique, and India. Further, this is in line with the company's vision of replicating the recycling business in different geographies. The group has made an investment of approx. ₹1.90 crore for the procurement & commissioning of this new recycling plant, which is invested from internal accruals of the company. The company, which will be procuring domestic plastic scrap for the purpose of production from this plant, would cater to the needs of plastic manufacturing industries situated in North America, Europe & Asia. This plant will help the company to change its sales mix by increasing the contribution from the plastic business. Interestingly, the company delivered good profit growth of 36.9 CAGR over the last five years and has a good return on equity (RoE); the track record of a 3-year RoE stood at 33.1 per cent. Multi Commodity Exchange of India Limited has a market capitalisation of ₹7621 crore and is currently trading at a PE multiple of 49.15x. 

IDFC First Bank reports strong quarterly numbers on the occasion of Dhanteras!

The private sector bank came out with its Q2FY23 numbers on the auspicious occasion of Dhanteras and the numbers declared by the bank would leave you awestruck!

• Here are some of the key highlights of Q2FY23:
• Net Interest Income (NII) grew by 32 per cent on YoY basis to ₹3,002 crore in Q2FY23.
• Net Interest Margin improved by 15bps on YoY basis to 5.98 per cent in Q2FY23. n Fee and other income grew by a staggering 44 per cent YoY to ₹945 crore in Q2FY23. Fee Income growth was contributed primarily by the fees related to loan sourcing, higher transaction led fees, distribution and wealth management fees etc. Retail fees (including toll and credit card) constitutes 92% of the overall fees for the quarter.
• Core operating income (excl. trading gains) grew by 35 per cent YoY to ₹3,947 in Q2FY23.
• Core operating profit (excl. trading gains) jumped up 84 per cent on YoY basis to ₹1,052 crore in Q2FY23.
• Provisions were lower by 11 per cent on YoY basis at ₹424 crore in Q2FY23 at 1.2 per cent (annualized) of average funded assets. The Bank is well on track to meet the asset quality and credit cost guidance. Based on the improved portfolio performance indicators, the Bank is confident to achieve its FY23 credit cost guidance at lower than 1.5% of the total average funded assets.
•  Net Profit jumped more than threefold on YoY basis to ₹556 crore in Q2FY23.
•  CASA Deposits grew by 37 per cent YoY to ₹63,305 crore.
•  CASA Ratio was at 51.28 per cent as of September 30, 2022.
•  GNPA and NNPA of the Bank was at 3.18 per cent and 1.09 per cent respectively, QoQ improvement by 18bps and 21bps respectively.
•  GNPA and NNPA of the Retail and Commercial Finance book was at 2.03 per cent and 0.73 per cent respectively, QoQ improvement by 8 bps and 20 bps respectively. With the bank’s profit after tax has grown consistently for the fifth consecutive quarter and the management is optimistic about maintaining their growth momentum on the basis of strong foundations it has built, can it blossom into the “next HDFC Bank”? Times alone can tell.

Pace E-Commerce Ventures Limited becomes Four Hundred and Fifth company to get listed on BSE SME Platform

Pace E-Commerce Ventures Limited became the 405th company to get listed on the BSE SME Platform on October 20, 2022. Pace E-Commerce Ventures Limited came out with an initial public offering of 64,59,600 equity shares of ₹10 each (“Equity Shares”) for cash at a price of ₹103 per equity share (The “Offer Price”), aggregating to ₹66.53 crore. The company has successfully completed its public issue on October 13, 2022. Pace E-Commerce Ventures Limited is a Maharashtra-based company whose registered office is in Pune. The company engaged in children's furniture, bedding, housewares, and essentials. The company's product portfolio includes Beds and Cribs, Seating and Lounging, Storage & Organisers, Playroom Furniture, Bins and Baskets, Décor and Accessories, Kids Bedding, Baby Bedding, Baby & Kids Essentials, Dinning Essentials & Homeware, Sports Ride Ons & Outdoor, Art and Craft, Games and Puzzles, Scooters and Ride Ons, Dolls Action figures and soft toys. The company also started catering to a number of requests for ondemand printing and manufacturing of products for both B2C and B2B Customers. Ahmedabad-based Interactive Financial Services Limited was the lead manager of Pace E-Commerce Ventures Limited. So far, 152 companies have migrated to the main board. The 404 companies listed on the BSE SME Platform have raised ₹4,412 crore from the market and the total market capitalization of 404 companies as on October 19, 2022 is ₹62,000.00 Crore. BSE is the market leader in this segment with a market share of 61 percent. SEBI came out with detailed guidelines on 18th May 2010 for launching of SME Exchange/Platform. BSE became the first stock exchange to get the approval from SEBI and launch its SME platform on 13th March 2012. The response since the launch of this platform by BSE has been very positive till date.