This small cap company has achieved a new milestone! Let us dive deeper into it
The stock price appreciated by 139.05 points on Tuesday, 14 June 2022.
Dynamatic Technologies, a constituent of the S&P BSE SmallCap, is the largest producer of Hydraulic Gear Pumps in Asia and one of the top five worldwide. The company designs and builds highly engineered products for Automotive, Aeronautic, Hydraulic and Security applications. Its facilities are located in India, the United Kingdom and Germany. It is a leading Private R&D Organisation, with numerous inventions and patents to its credit.
The company was impacted by global supply chain-related challenges and manpower shortages in ancillary industries. This had a significant impact on the financials.
The company reported the following results in Q4FY22: Revenue of Rs 320.9 crore; down 9.2% from Rs 353.3 crore in Q4 FY21. The Aerospace segment revenue of Rs. 99.4 crore; down by 8.6% from Rs 108.7 crore. The Hydraulics segment revenue of Rs 114.0 crore; up by 17.1% from Rs 97.4 crore. The Metallurgy segment revenue of Rs 105.3 crore; down by 28.4% from Rs 147.1 crore. EBITDA of Rs 48.2 crore; down 2.2% from Rs 49.3 crore in Q4 FY21. PAT from continuing operations of Rs 15 crore, surged from Rs 4.2 crore in Q4 FY21.
Despite all the difficulties faced by the company, it is undertaking new projects. It has won the contract to manufacture the Escape Hatch Door for Airbus A220 aircraft. The contract was placed by recently established Stelia Aeronautique Canada Inc, a subsidiary of Airbus Atlantic SAS.
Regarding the contract, Udayant Malhotra CEO & Managing Director said that "Dynamatic has been working with Airbus since 2006 on flight critical wing sub-assemblies and is now moving onto the fuselage. The Escape Hatch Door is a complex assembly, and this is the first aerostructure of the new Airbus A220 family to be built in India."
The company has a 52-week high of Rs 3447.85 and has a 52-week low of Rs 1344.30. At 11:33 am, the shares of the company jumped by 7.46%, and the scrip is trading at Rs 2003.80.
About the Author
DisclaimerInvestment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.
Start Investing Now!
Open Free Demat Account in 5 mins