The Multi Commodity Exchange Of India Ltd (MCX) witnessed a surge in its shares by 4 percent following a remarkable increase in its net profit and revenue by 455 percent and 60 percent YoY in Q1FY25, respectively. The company’s market capitalization stood at Rs 21,547.07 crore, with shares trading at Rs 4,225.05 per share, reflecting a 2.14 percent increase from the previous closing price.
The positive movement in MCX’s shares can be attributed to the substantial growth in revenue, which escalated by 21 percent on a quarter-on-quarter basis and 60 percent year-on-year. The company’s net profit also saw a significant rise, increasing by 26 percent QoQ and an impressive 455 percent YoY.
Investors have reaped significant returns from MCX, with a 23.78 percent return in 6 months and a whopping 154.50 percent return in a year. Those who invested Rs 1 lakh a year ago would now see their investment grow to Rs 2.54 lakh.
It is important to note the fluctuation in the company’s crucial ratios, with a decline in return on equity and return on capital employed. However, the net profit margin remains at a healthy 12.38 percent.
In terms of shareholding pattern, Foreign Institutional Investors dominate with a 57.26 percent stake, followed by Retail shareholders at 21.88 percent and Foreign Institutional Investors at 20.69 percent.
MCX offers online commodities futures and options trading, data feed subscriptions, and memberships, providing a platform for trading commodity derivative contracts in various product areas. The company’s recent financial performance has garnered attention from investors, making it a potential lucrative investment opportunity.
