Shares of Rushil Decor Ltd experienced strong upward momentum, increasing by 6.50% on Monday to close at Rs 34.87 per share, surpassing the previous day’s closing of Rs 32.74. The stock reached an intraday high of Rs 34.87 and a low of Rs 33.25, indicating improved investor demand. Currently trading at Rs 34.87, the stock is 22.35% higher than its 52-week low of Rs 27, and the company’s market capitalization stands at Rs 922 crores, reflecting an impressive growth of 880% over the past decade.
The rise in stock price follows the conversion of 9,00,000 convertible warrants into equity shares, with an equal number of shares allocated to two allottees. The shares have a face value of Rs 1 and an exercise price of Rs 28.70 per share. With this conversion, the non-promoter holding in the company is set to increase to 45.37%.
In its Q1 FY25 financial results, Rushil Decor reported net sales of Rs 223.50 crore, marking a 16% year-on-year increase, while net profit grew by 1% to Rs 12.31 crore. The company’s net debt-to-equity ratio is at 0.45 times, with basic and diluted EPS at Rs 4.61 and Rs 4.06, respectively. The company expanded its distribution network by adding 56 new dealers and 58 new distributors during the quarter.
For operational performance, Rushil Decor’s medium-density fibre (MDF) board segment recorded an EBITDA of Rs 21 crore, yielding a margin of 12.4%. The laminate segment contributed Rs 4.3 crore to EBITDA, with a margin of 9.1%. Both segments showed strong capacity utilization, with MDF at 91% and laminates at 88%. Notably, the company’s export profits surpassed domestic sales, enhancing overall profitability.
In FY24, Rushil Decor saw a marginal increase in total sales of 0.7%, reaching Rs 843.97 crore. However, operating profit decreased to Rs 122.79 crore, and net profit fell to Rs 43.11 crore compared to Rs 150.77 crore and Rs 77.67 crore in FY23, respectively. The company remains focused on the manufacturing and sale of laminate sheets, medium-density fibre boards, pre-laminated MDF boards, PVC boards, and particle boards, solidifying its position as a key player in the industry.
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