Now Reading: NHC Foods shares hit upper circuit on 920% profit jump
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NHC Foods shares hit upper circuit on 920% profit jump
Penny stock NHC Foods rose 5% to Rs 1.30 on Wednesday after reporting a blockbuster Q1 FY27. Revenue surged 234.54% year-on-year to Rs 369.69 crore, while net profit jumped 919.81% to Rs…
The Story in Brief
Penny stock NHC Foods rose 5% to Rs 1.30 on Wednesday after reporting a blockbuster Q1 FY27. Revenue surged 234.54% year-on-year to Rs 369.69 crore, while net profit jumped 919.81% to Rs 16.99 crore. EBITDA grew 512.43% to Rs 21.29 crore. Basic EPS rose to Rs 0.26 from Rs 0.03 a year ago.
The company strengthened its capital base by allotting over 104 crore fully paid-up equity shares to Global Focus Fund on partial conversion of 11 FCCBs worth USD 11 lakh. It also signed a letter of intent to invest in Agriconnect Solutions, an agri-commodities trader, to diversify operations.
The Indian Opinion
The jaw-dropping percentage growth masks a low base: profit is just Rs 16.99 crore and EPS Rs 0.26 on a stock trading at Rs 1.30. The massive equity dilution from FCCB conversion, over 104 crore shares for a mere USD 11 lakh, raises questions about shareholder value. Investors should watch whether the company can sustain revenue momentum or if this is a one-quarter blip propped by low comparables.
Source: livemint.com
This story was synthesised by AI from the source linked above.
