The profits of a micro-cap company surged by 970 per cent in FY24, making it a turnaround story. The company is involved in trading and exporting yarns and is a government-recognized Star Trading House. It has diversified its business portfolio in recent years by trading in various fabrics in the domestic market. Although the company has not been engaged in export business for some time, it is actively seeking favorable export deals.
On Monday, the stock of Yarn Syndicate opened at Rs 32.95 per share, up from the previous day’s closing figure of Rs 31.47 per share on the BSE. The stock quickly reached the upper circuit price limit of Rs 5 per share, indicating strong demand in the market with no sellers willing to offer shares. Currently, the stock is trading at Rs 33.04 per share on the BSE, with a market capitalization of Rs 71.86 crore. It has generated a multibagger return of around 1,496 per share in just 3 years.
In the quarterly results for Q4 FY24, the company reported a revenue of Rs 2.47 crore and a net profit of Rs 1.28 crore, marking a significant growth compared to the previous year. For the full fiscal year, the company reported a revenue of Rs 3.90 crore and a net profit of Rs 1.40 crore in FY24, representing a gain of 971.43 per cent year-on-year.
Investors are advised to keep an eye on this micro-cap stock, which has shown remarkable growth in profitability. Please note that this article is for informational purposes only and not investment advice. If you are interested in penny stocks below Rs. 100, you may consider DSIJ’s ‘Penny Pick’ service for research-backed recommendations.