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Sumeet Industries jumps after announcing plans to set up wind power plant

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Capital Market
Last Updated : Feb 24 2015 | 1:30 PM IST

Sumeet Industries jumped 5.42% to Rs 19.45 at 10:00 IST on BSE after the company said that it is going to setup 10.5 megawatts wind power plant.

The company made announcement before market hours today, 24 February 2015.

Meanwhile, the S&P BSE Sensex was up 29.65 points or 0.1% at 29,004.41.

On BSE, so far 68,517 shares were traded in the counter as against average daily volume of 82,000 shares in the past two weeks.

The stock hit a high of Rs 19.95 and a low of Rs 18.50 so far during the day. The stock had hit a 52-week high of Rs 24 on 6 March 2014. The stock had hit a 52-week low of Rs 13.23 on 3 February 2015.

The stock had outperformed the market over the past one month till 21 February 2015, rising 32.73% compared with 1.04% fall in the Sensex. The scrip had also outperformed the market in past one quarter, gaining 27.51% as against Sensex's 2.26% rise.

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The small-cap textiles firm has equity capital of Rs 58.04 crore. Face value per share is Rs 10.

Sumeet Industries said that the company is going to setup 10.5 megawatts (MW) (5 numbers of turbine of 2.1 MW each) wind power plant at a capital cost of Rs 77.51 crore and for the said project IDBI Bank has sanctioned Rs 57.75 crore. This power plant will be operational within six months. The company's profitability will improve further due to low cost of energy. Not only that, after completion of six years from this project, the company will receive 2.70 crore units of electricity only at a cost of Rs 1.30 paise per unit.

Sumeet Industries' consolidated net profit rose 57.9% to Rs 9.68 crore on 4.1% decline in total income to Rs 369.97 crore in Q3 December 2014 over Q3 December 2013.

Sumeet Industries started as a yarn manufacturing unit and has now grown in a huge conglomerate with various businesses.

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First Published: Feb 24 2015 | 9:56 AM IST

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