Latest news with #FCBs
Mint
05-07-2025
- Business
- Mint
Small-cap multibagger stock to be in focus on Monday; here's why
Multibagger small-cap stock Kellton Tech Solutions will likely hog the limelight when the Indian stock market resumes trading on Monday, July 7, following an update by the company regarding the allotment of shares against the foreign currency convertible bonds (FCBs) issued by the company. Kellton Tech Solutions, in an exchange filing on Friday post-market trading hours, said that its Security Issuance Committee at its meeting approved the allotment of 11,26,580 shares against the conversion of FCCBs. "Members of the Security Issuance Committee (hereinafter referred as 'SIC') of the Company at their meeting held today i.e. July 04, 2025, has approved the allotment of 11,26,580 (Eleven Lakh, Twenty Six Thousand, Five Hundred and Eighty) Equity shares of face value of ₹ 5/- each (fully paid-up) against the conversion of Foreign Currency Convertible Bonds (FCCBs) Issued by the of the Company," the small-cap company said in a filing. These shares were issued at a price of ₹ 106 per share, and will be listed on the BSE and the National Stock Exchange (NSE), it further said. The small-cap stock also clarified that the shares allotted are identical in all respects to the existing equity shares of the Company and shall rank pari passu with them from the date of allotment. "Consequent to the aforesaid allotment of 11,26,580 equity shares of ₹ 5/- each pursuant to the partial conversion of FCCBs, the paid-up equity share capital of the company has increased from ₹ 48,75,69,670/- comprising 9,75,13,934 equity shares of ₹ 5/- each fully paid-up to ₹ 49,32,02,570/- comprising 9,86,40,514 equity shares of ₹ 5/- each fully paid-up," Kellton Tech Solutions said in a filing. Kellton Tech Solutions share price ended the day ahead of the announcement in the green, rising 4.82% to end at ₹ 134.90. The IT services company, having a market capitalisation of ₹ 1,315 crore, has seen its share rise 24% in just three months. In the last one year, the small-cap stock is up 21%. However, on a year-to-date basis, it has lost 14%. Yet, over the longer time frame of five and 10 years, the small-cap stock has emerged as a multibagger bet, with the scrip gaining 796% in the last five years and 309% in the past 10 years. Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
The Sun
26-05-2025
- Business
- The Sun
Avangaad posted steady financial performance in Q1 FY25
KUALA LUMPUR: Avangaad Bhd, a marine transportation and offshore storage specialist, reported a relatively steady financial performance for the first quarter (Q1) of the financial year ending December 31, 2025 (FY25). The group recorded a revenue of RM29.97 million for Q1, a decrease of 3.94% from RM31.20 million recorded in Q1 FY24. The marginal year-on-year revenue decline was primarily due to the anticipated transition between the expiry of existing fast crew boat (FCB) contracts and the commencement of replacement engagements. Net profit for Q1 FY25 decreased 32.49% to RM4.654 million from RM6.89 million posted in Q1 FY24. Avangaad said the succession contracts for three FCBs have already commenced within the current quarter, with the remaining expected to come online in Q2 2025 — a development expected to support topline recovery progressively. Importantly, the dip in Q1 earnings was mitigated by the group's solid operational fundamentals and high earnings visibility. The group has a secured order book of RM141.7 million and an additional RM214.6 million available under optional contracts. The consistent structure and tenure of Avangaad's contracts continue to anchor a stable revenue base and a resilient earnings trajectory. Meanwhile, the group's proactive resolution of key outstanding matters has markedly strengthened its financial position, reflected in the cash balance rising 138% from RM19.1 million to RM45.5 million within the quarter. This substantial improvement in liquidity enhances the group's financial flexibility, supporting ongoing operational momentum and providing headroom to capitalise on future growth opportunities. Avangaad has sustained a structured and client-centric engagement strategy despite ongoing market volatility, offering relevant marine service solutions tailored to evolving operational needs. The group's fleet contracts remain resilient, supported by high committed utilisation rates and consistent demand across its deployed vessels. This operational strength is reflected in the group's healthy operating cash flow, which rose to RM32.03 million, an over fivefold increase from RM6.27 million in the corresponding period last year. For the quarter ended March 31, 2025, the group's charter hire segment recorded stronger customer concentration, with three external customers contributing 68% of total group revenue, up from 41% contributed by two customers in the corresponding period last year. Revenue attributable to these key customers rose to RM20.42 million, representing a 60.5% year-on-year increase from RM12.72 million. This reflects growing demand and strategic traction in the group's core marine services operations, underpinned by sustained fleet deployment and deeper penetration in key accounts. Avangaad has proposed acquiring the marine consultancy company Bumi Jaya Shipcare Sdn Bhd (BJSSB) and two tugboats for RM49.0 million in March 2025, which aligns with its strategic growth plans. This move is expected to expand the fleet from 26 to 31 vessels by the third quarter of 2025. It will strengthen the group's service capacity and operational readiness to support regional offshore activities and shape its role as a dependable, scalable marine service provider. Avangaad executive director Datuk Wira Mubarak Hussain Akhtar Husin said the company's fundamentals remain strong, with solid operational cash flow and a substantial order backlog driving its growth strategy forward. 'We will continue to optimise fleet utilisation and cost efficiency, positioning the group for sustained performance and long-term profitability. 'Backed by a diversified contract portfolio and long-term tenures, the group is strategically positioned to scale as a leading marine service provider. 'Enhanced capacity and operational readiness continue to support sustained performance and strengthen the Group's market positioning for long-term growth. 'Looking ahead, Avangaad is committed to improving operational efficiencies, maximising fleet utilisation, and continuously exploring new business opportunities to sustain earnings stability and cash flow certainty,' he said. Mubarak Hussain said the company's fundamentals remain strong, with solid operational cash flow and a substantial order backlog driving its growth strategy forward.
