Lakshmi Machine Works jumped 4.5 percent on Friday, October 21, after the board approved the proposal to invest ₹50 crore in the unsecured compulsorily convertible debentures.
During Friday’s trade, the stock opened with a gap up of ₹383 at ₹12,640 against the previous close of ₹12,256.90 and rallied further to touch an intraday high of ₹12,798.95. However, the stock failed to hold on to this rally and was trading at ₹12,472.35, up by nearly 2 percent, at 11:30 am. on the NSE.
The stock touched a 52-week-high of ₹13,354 on September 23, 2022 and a 52-week-low of ₹8151 on November 29, 2021, indicating that at the current level, the stock is trading at 52.7 percent above its 52-week low and just 6.7 percent below its 52 week high.
In the past six months, the stock has given a positive return of almost 28 percent whereas it has shown a growth of nearly 40 percent this year till date. In the last five years, the stock has returned over 113 percent to its shareholders.
On Thursday, October 20, the board approved the proposal to invest ₹50 crore in the unsecured compulsorily convertible debentures issued by LMW Aerospace Industries, a wholly owned subsidiary of the company, reported Business Standard.
The net profit of Lakshmi Machine Works rose 139.60 percent to ₹104.30 crore in the quarter ended September 2022 as against ₹43.53 crore during the previous quarter ended September 2021.
Additionally, the company reported a total revenue of Rs. 1254.52 crore during the quarter ended September 30, 2022 as compared to Rs. 817.6 crore in the same quarter of last year.
Lakshmi Machine Works Ltd., established in 1962, is a mid-cap company with a market capitalisation of ₹13,094.05 crore functioning in the engineering industry. In comparison to S&P BSE Capital Goods, which provided investors with a return of 73.63 percent over a three-year period, the stock generated a return of 238.14 percent, as of last trading session.
Lakshmi Machine Works Limited is an India-based textile machinery manufacturer. The company is engaged in the manufacturing and selling of textile spinning machinery, computer numerical control machine tools, heavy castings and parts and components for aerospace industry.