VMPL
Ahmedabad (Gujarat) [India], November 18: Ahmedabad based Narmada Agrobase Limited (BSE - 543643) engaged in the business of production and processing of cottonseed meal cake, cattle feed and soybean meal, is pleased to announce a significant increase in its Profit After Tax (PAT) for the Q2 FY25. The company has achieved a remarkable growth in PAT of 660.10% compared to the same period last year.
Key Highlights:
* Profit After Tax (PAT) increased to Rs. 12.94 million, marking an exceptional growth of 660.10% compared to Rs. 1.70 million in same period last year.
* The company's EBITDA grew by 340.85% to reach Rs. 20.68 million.
* Strong performance across business segment contributed to the overall growth.
Neeraj Agrawal, Chairman & Managing Director, Narmada Agrobase Ltd commented: "We are thrilled to report such strong financial results, driven by both our operational efficiency and strategic initiatives. The significant increase in our Profit After Tax is a testament to the hard work of our team and the continued demand for our products and services. Our performance reflects our commitment to growth and value creation for our shareholders. This outstanding quarter reflects our strategic investments in growth and our ability to execute in a rapidly changing market environment. As we move forward, we remain focused on delivering sustainable growth, enhancing shareholder value, and capitalizing on new opportunities that align with our long-term vision"
The company remains optimistic about its growth prospects in the next quarters with continued focus on key growth drivers, such as expanding into new markets, enhancing product offerings, etc. The company is well-positioned to capitalize on emerging opportunities and continue its trajectory of strong performance.
Company has recently completed its Rs. 36.58 crore Rights issue. The funds raised through the right issue will be utilised to fund company's expansion plans including meeting the working capital requirements, purchase of plant & machineries, acquisition of land, construction of oil mill plant, other civil works and for general corporate purpose among others.
The Company issued 24,387,685 fully paid-up Equity Shares of the face value of Rs. 10 each for cash at a price of Rs. 15 Per Equity Share aggregating to Rs. 36.58 crore. The Rights entitlement ratio for the proposed issue is fixed at 9:5 (9 Rights equity shares of face value of Rs. 10 each for every 5 fully-paid equity share held by the equity shareholders on the record date.
Out of the issue proceeds of Rs. 36.58 crore, company intends to use Rs. 17.87 crore towards working capital requirement, Rs. 7.70 crore towards acquisition of land, construction of oil mill plant & other civil works and purchase of plant & machineries and Rs. 9.01 crore towards general corporate purposes.
Established in 2013, Narmada Agrobase Limited is engaged in the production and processing of cottonseed meal cake, cattle feed and soybean meal. The company is an ISO 9001:2015 certified company. The company manufactures and exports cottonseed meal, guar meal, delinted cottonseed, organic fertilizers, and cattle feed under the brand names "Ladoo", "Narmada", "Narmada Kala Sona", "Narmada Super", "Super Narmada" "Churma" and "Gaay Chhaap".
The products manufactured by the company are used to feed cattle and provide a high amount of protein and other nutrients required by the animals. The by-products of these products are also used in the textile industry, the consumer goods industry and the paper industry.
For FY23-24 ended March 2024, the company has reported Total income of Rs. 50.39 crore. Net Profit for FY24 was reported at Rs. 1.2 crore, rise of 56% as compared to Rs. 65 lakh in FY23.
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