SSWL jumps after bagging export order

Steel Strips Wheels jumped 3.11% to Rs 137.50 at 11:19 IST on BSE after the company said it bagged an export order from Ring Tech Company.

The company made the announcement during trading hours today, 16 September 2013. The order size was undisclosed.

Meanwhile, the BSE Sensex was up 199.99 points, or 1.01%, to 19,932.75

On BSE, 3,586 shares were traded in the counter compared with average volume of 4,912 shares in the past one quarter.

The stock hit a high of Rs 143.10 and a low of Rs 135 so far during the day. The stock hit a 52-week high of Rs 240.90 on 17 September 2012. The stock hit a 52-week low of Rs 111.50 on 20 August 2013.

The stock had outperformed the market over the past one month till 13 September 2013, rising 11.08% compared with the Sensex's 2.62% rise. The scrip had, however, underperformed the market in past one quarter, sliding 8% as against Sensex's 4.81% rise.

The small-cap company has an equity capital of Rs 15.21 crore. Face value per share is Rs 10.

Steel Strips Wheels (SSWL) said it bagged an export order for tractor segment from Ring Tech Company (RTCL), a subsidiary of Nippon Steel & Sumitomo Metal.

RTCL has a technical tie up with SSWL for developing state of art technology in steel wheel manufacturing. Nippon Steel & Sumitomo Metal holds a strategic stake in SSWL and that will substantially improve the scope of potential business being developed with RTCL, SSWL said in a statement.

SSWL is developing various products in different segments with RTCL. This marks beginning of yet another export business and will add a lot of value with ramp up, the company said.

SSWL's net profit fell 7.7% to Rs 6.20 crore on 5.3% decline in net sales to Rs 244.83 crore in Q1 June 2013 over Q1 June 2012.

Steel Strips Wheels manufactures automotive steel wheels since 1991. Its product range comprises wheels for passenger cars, multi utility vehicles, tractors, trucks, as well as two and three wheelers. It currently has three production facilities. It mainly produces passenger car wheels in Dappar (Chandigarh) and Oragadam (Chennai) and truck wheels in Jamshedpur.

Powered by Capital Market - Live News