Small-cap stock below 100: Sigachi Industries Ltd announced its January-March quarter results for fiscal 2024-25 (Q4FY25), reporting a drop of 11 per cent in consolidated net profit to ₹13.26 crore, compared to ₹15.03 crore in the corresponding period last year. The pharma major also recommended a dividend.
The Hyderabad-based BSE smallcap company's revenue from operations surged by 23 per cent to ₹128.2 crore in the fourth quarter of FY25, compared to ₹104.1 crore reported in the year-ago period. Expenses in the March quarter rose to ₹107.7 crore from ₹94.1 crore in last year's period.
Meanwhile, the board of Sigachi Industries recommended a final dividend of 10 per cent for its shareholders on each stock of Re 1 face value. This translates into a total payout of Re 0.10. "Recommended a Final dividend of Re 0.10 per share, subject to approval of members at the ensuing Annual General Meeting," said the pharma company in its exchange filing.
Besides, the board of Sigachi Industries also approved the acquisition of 1,07,17,672 equity shares of ₹10 each in Trimax Bio Sciences Pvt Ltd for ₹37.22 crore pursuant to conversion of advance/loan into equity.
“Approval of material related party transaction of acquisition of 1,07,17,672 equity shares of ₹10 each in Trimax Bio Sciences Private Limited for ₹37.22 crore pursuant to conversion of advance/loan into equity, subject to the prior approval of the members of Sigachi Industries Limited and Trimax Bio Sciences Private Limited. The details of the said acquisition in terms of the SEBI Circular,” said Sigachi Industries in a regulatory filing to the exchanges.
Shares of Sigachi Industries have rallied nearly 20 per cent in the last five days, 30 per cent in one month, and five per cent year-to-date. On Friday, shares opened at ₹52.18 and swung to an intraday high of ₹53.27 and ₹51.53. The pharma major commands a market cap of ₹1,755.93 crore.
Sigachi Industries manufactures primarily microcrystalline cellulose. The domestic company is engaged in manufacturing cellulose-based excipients for finished dosages in the pharmaceutical industry. Sigachi is seen as an industry leader in the fields of pharmaceutical excipients, nutra, and food ingredients.
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