Shares of Kirloskar Electric Company Ltd have rallied over 1,200% in the last three years. The microcap stock, which closed at Rs 9 on May 15, 2020 rose to a high of Rs 121.95 on the BSE today (May 4, 2023). An amount of Rs 1 lakh invested in the shares of Kirloskar Electric three years ago would have turned into Rs 13.55 lakh today. In comparison, Sensex has risen 100 per cent during the period. In the current session, the stock slipped 6.27% to Rs 112.8 on BSE today. Kirloskar Electric stock opened marginally higher at Rs 120.49 today against the previous close of Rs 120.35 on BSE.
In terms of technicals, the relative strength index (RSI) of the stock stands at 75.9, signaling it's strongly overbought. Kirloskar Electric shares have a beta of 1.2, indicating high volatility in a year. Kirloskar Electric shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The stock has risen 414% in one year and gained 81% since the beginning of this year. The share has climbed 45.56% in a month. Total 0.58 lakh shares of the firm changed hands amounting to a turnover of Rs 68.91 lakh on BSE. Market cap of the firm stood at Rs 768.34 crore on BSE.
10 promoters held 49.51 per cent stake in the firm and 62,202 public shareholders owned 50.49 per cent for the quarter ended March 2023. Of these, 61,075 public shareholders held 1.90 crore shares or 28.67% stake with capital up to Rs 2 lakh. Only 158 shareholders with 12.09% stake held capital above Rs 2 lakh for the quarter ended March 2023. 18 banks held 0.25% stake in Q4 of the last fiscal.
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Kirloskar Electric has outperformed its peers in terms of market returns in the last three years. Shares of Hercules Hoist have risen 254.3% and stock of Salzer Electron has gained 416% in three years. Stock of another competitor BGR Energy has risen 100% during the period.
Financial Performance
The stellar rally in the Kirloskar Electric stock reflects the financial performance of the firm in the last three years. In the December quarter, the firm reported a profit of Rs 3.38 crore against Rs 10.87 crore loss in the corresponding quarter of previous fiscal. Sales rose 41% to Rs 115.75 crore in the December 2022 quarter against Rs 82.10 crore in the December quarter of 2021.
Operating profit zoomed to Rs 7.65 crore for the quarter ended December 2022 against Rs 2.10 crore loss in the corresponding quarter of the previous fiscal.
On a quarter-on-quarter basis, the firm reported a 84.29% fall in net profit from Rs 21.52 crore in the September 2022 quarter. However, sales climbed 4.76% from Rs 110.49 crore in Q2 of the last fiscal.
On an annual basis, profit stood at Rs 67.39 crore for the fiscal ended March 2022 against a loss of Rs 48.11 crore for the fiscal ended March 2021. For the fiscal ended 2020, profit stood at Rs 45.31 crore. Sales stood at Rs 334.67 crore in the March 2022 fiscal against Rs 277.58 crore for the fiscal ended March 2021. For the fiscal ended 2020, sales stood at Rs 314.41 crore.
About the Company
Kirloskar Electric Company Limited is a manufacturer of electrical and electronic equipment. It offers solution for customised applications related to industrial power and electrical control equipment. The company designs, manufactures, markets, and services rotating machines. It serves a range of industries, such as power generation, transmission and distribution, transportation, renewable energy, sugar, steel, cement, and allied industries.