Tata Steel's This Penny Stock Gives 148% Returns YTD, Top Winner Of 2024; Makes Big Announcements

Tata Steel-backed industrial equipment handling and allied services provider, TRF Ltd is in focus on Wednesday as it declared its Q4 results for FY24. TRF is a penny stock and the biggest winner in Tata Group stocks for 2024 as of now. The stock has rallied by nearly 148% YTD and is currently nearing its 52-week high of Rs 670.

TRF has announced a major restructuring at its topmost management level. While its profitability declined in Q4, however, its top-line front was steady sequentially.

In Q4FY24, the company reported a consolidated net profit of Rs 6.29 crore, down from Rs 13.28 crore in Q4FY23 and Rs 8.80 crore in Q3FY24. Its revenue on a consolidated basis shot up to Rs 38 crore in Q4FY24, as against Rs 28.77 crore in Q3FY24, but was down marginally from Rs 38.89 crore in Q4FY23.

That being said, TRF exited FY24 with a net loss of Rs 4.98 crore, as against a profit of Rs 1.05 crore in FY23. Meanwhile, its revenue for FY24 plunged to Rs 139.95 crore as against Rs 177.10 crore in FY23.

Furthermore, TRF announced that there have been changes in the board of directors.

As per the regulatory filing, Avneesh Gupta has resigned as the Non-Executive, Non-Independent Director of the Company and consequently has ceased to be the Chairperson of the Board.

The resignation is effective from the close of business hours of May 15, 2024. The Board has taken note of the resignation and placed on record its sincere appreciation for the leadership, guidance and contribution made by Gupta during his tenure as Member and Chairperson of the Board.

Further, the board approved the appointment of Samita Shah as an Additional Director (Non-Executive, Non-Independent) of the Company with effect from May 16, 2024, to hold the office of Director up to the date of the ensuing Annual General Meeting ('AGM') of the Company.

Samita is also elected as the Chairperson of the Board, effective May 16, 2024, in place of Avneesh.

Also, the board appointed Akshay Khullar as an Additional Director (Non-Executive, Non-Independent) of the Company with effect from May 16, 2024, to hold the office of Director up to the date of the ensuing AGM of the Company.

TRF Limited, a Group Company of India's most respected business house - TATA, is a leader in the field of Engineered-to-Order, bulk material handling equipment, systems and allied services.

Incorporated in 1962 as Tata-Robins-Fraser Ltd. and re-christened as TRF Limited in 1994, the company is the most comprehensive provider of equipment and services to the infrastructure sectors of the economy such as Steel, Mining, Power and Ports, amongst others, using leading-edge technologies with customer-friendly service and credible performance.

The Company, with its long and extensive track record,manufactures the most comprehensive range of equipment and undertakes the execution of large projects on a turn-key basis related to Material Handling, Sizing and Mineral Processing. It also provides engineering and technology for Mini Blast Furnaces, Coal Dust Injection Systems for Blast Furnaces and Stamp Charging and Pushing Equipment for Coke Ovens. Armed with innovative initiatives and a customer-sensitive approach, the Company is forging ahead towards new horizons and enlarged footprints across India.

However, TRF has made no corporate actions since 2012. As per Trendlyne data, the stock has delivered up to 13 dividends since July 2001. However, the last dividend payout is of Rs 4 per share in 2012. Also, TRF was given only 1 bonus share of the ratio of 1:1 in July 2009.

On May 15, the stock price ended flat at Rs 627 apiece, which is its intraday high. The market cap is around Rs 690.02 crore. The stock's 52-week high and low is at Rs 670 apiece and Rs 159 apiece respectively.

YTD, TRF shares are up by 147.97% on BSE. The stock was below Rs 253 levels at the start of January 2024. While in a year, the stock zoomed by 283%. In 5-years, the upside is around 452%.