DOMS Industries Stock Hits All-Time High After Impressive Q1 Earnings; Surges Over 200% Since IPO

Shares of DOMS Industries soared by over 4% to reach a record high of ₹2,545 on August 13, thanks to strong performance in the first quarter of FY25 (April-June). Since its IPO just seven months ago, the stock has skyrocketed by more than 200%, more than tripling from its initial price of ₹790 per share.

Over the past 12 months, the stock has risen by 83%, and it has gained 94% so far this year. Trading volume for the day is 3.1 times the 30-day average, with the relative strength index at 62.

The stationery company reported a 49.5% increase in net profit for Q1FY25, reaching ₹54.3 crore, up from ₹36.3 crore in the same quarter last year. Consolidated revenue grew by 17.3% year-on-year to ₹445 crore.

The company’s EBITDA also grew by 17.3% to ₹445 crore for the quarter, with margins improving significantly by 300 basis points to 19.4%.

In Q1, the company’s top product category was scholastic stationery, which made up 43% of revenue, followed by scholastic art materials at 25%, and kits and combos at 8%.

Santosh Raveshia, Managing Director of DOMS Industries, said, “Despite challenges from extreme weather conditions in North India during the June quarter, we’ve had a strong start to FY25 with continued sales growth and better margins.”

Additionally, the company’s board has approved an investment of up to ₹55 crore to acquire a 51.77% stake in Uniclan Healthcare by purchasing 71,16,080 equity shares at ₹10 each. This deal is expected to close by September 30, 2024.

In other news, DOMS Industries has also acquired a 51% stake in SKIDO Industries, which is raising ₹1 crore through a rights issue to meet its working capital and capital expenditure needs.

DOMS Industries is known for manufacturing, marketing, trading, and distributing school stationery and art materials under the brands ‘DOMS’ and ‘C3’.