MOIL shares rise 5% to hit 52-week high in special trading session; here’s what aiding the rally

Shares of MOIL Ltd gained 5% to hit a fresh 52-week high in the special trading session on Saturday, May 18, extending gains from the previous session. The mining stock surged to a year’s high of ₹551.05 apiece on the NSE during the special trading session.

The state-owned manganese producer declared its results for the fourth quarter of FY24 and the full fiscal year on Wednesday, May 15.

The PSU stock has seen a positive momentum after its Q4 results. Shares of MOIL also hit the 20% upper circuit limit at ₹524.85 apiece on the NSE on Friday, ending two-day losing streak.

Here’s a look at the factors likely to be aiding the rally in the PSU stock:

MOIL Q4 Results

MOIL total revenue for the fourth quarter of FY24 fell marginally by nearly 2% to ₹439.85 crore against ₹448.05 crore in the corresponding quarter of the previous fiscal year. Sequentially, the company’s total income grew by 34% from ₹329.72 in the December quarter. In FY24, the company’s total revenue grew nearly 9% to ₹1,542.95 crore from ₹1,418.51 crore in FY23.

The company’s net profit grew by 12.6% in the March quarter to ₹91.14 crore compared to ₹80.94 crore in the corresponding quarter of the previous fiscal year. The company’s net profit grew by more than 68% from ₹54.09 crore in the previous quarter of FY24. The public sector company’s net profit for FY24 surged 17% to ₹293.34 crore, compared to ₹250.59 crore in FY23.

MOIL reports strong operational updates for FY24

The public sector company informed the exchanges about its record high sales and production numbers for FY24. The mining company mentioned in a release that it achieved its highest ever production of manganese, reporting an increase of production to 17.56 lakh tonnes for FY24.

The state owned mining company also added that it had achieved its best ever production of Electrolytic Manganese Dioxide (EMD).

The company also said that it had produced 4.83 lakh tonnes of manganese ore for the first time in the March quarter of FY24.

On the sales front, MOIL mentioned in the release that it had achieved sales of 15.36 lakh tonnes in FY24 for the first time. The company also posted a record turnover of ₹1,449.42 crore for FY24. The company’s capital expenditure (CAPEX) reached ₹316 crore in FY24 for the first time.

MOIL announces dividend

The board of the public sector company has recommended a final dividend of ₹2.55 per share in the quarter ended March of FY24. The total dividend amount for FY24 is ₹6.05 per share for the year (including an interim dividend of ₹3.5 per share).

Shares rally 251% in one year

The company’s shares have surged 78.33% so far this year (Year-to-date). In the last one year the company’s stock has soared 251.43% and 209.58% in the last three years.