Ace investor Rakesh Jhunjhunwala has lost Rs 40 crore in three years as share price of one of his key holdings Mandhana Retail Ventures fell nearly 94% during the period. At the end of June quarter this year, Jhunjhunwala held 28.13 lakh shares or 12.74% stake in the retail venture of Mandhana Industries. Share price of the firm fell to Rs 9.62 on June 30, 2020. That valued his stake at Rs 2.70 crore in Q1.
On June 30, 2017, share price of Mandhana Retail Ventures stood at Rs 154.35 on BSE. Jhunjhunwala held 28.13 lakh shares or 12.74% stake in the firm which valued his stake at Rs 43.42 crore. The ace investor took a Rs 40.71-crore hit on his portfolio with Mandhana Retail Ventures stock in three years.Share price of Mandhana Retail Ventures crashed 93.76% causing huge losses to its shareholders during the period. In comparison, Sensex and Nifty have risen 19% and 12.76%, respectively.
On the other hand, its peers Avenue Supermarts, Trent, Aditya Birla Fashion and Future Retail have performed better on the stock exchanges. While share price of Avenue Supermarts has risen 128% in last three years, stock of another peer Trent has gained 111.76% during the perod. Share price of Aditya Birla Fashion and Future Retail have lost 25.76% and 74.47%, respectively.
In today's trade, share price of Mandhana Retail Ventures was trading 4.63% higher at Rs 9.95 against previous close of Rs 9.51 on BSE. The micro cap stock has lost 1.49% in one year and 20.65% since the beginning of this year. However in one month, the share has gained 1.43%.
Market cap of the firm stood at Rs 21.97 crore on BSE. Currently, the share trades higher than 50 day and 100 day moving averages but lower than 5 day, 20 day and 200 day moving averages. The share hit 52-week high of Rs 20.75 on November 11, 2019 and touched 52-week low of Rs 5.10 on March 30, 2020.
The firm is yet to declare its earnings for quarter ended March 2020. For quarter ended December 2019, the firm logged net profit of Rs 1 crore, a 72% rise in profit from Rs 0.58 crore for quarter ended December 2018.
However, sales fell 17.50% in Q3 of last fiscal to Rs 57.55 crore against sales of Rs 69.76 crore in the corresponding period of previous fiscal. On a quarter-on-quarter basis, the firm reported 80% rise in sales in Q3 of last fiscal.
Net profit rose 114.84% from Rs 6.74 crore loss logged in Q2 of last fiscal.
On an annual basis, the firm logged Rs 0.59-crore loss for fiscal ended March 2019 against profit of Rs 9.03 crore for March 2018 fiscal. Sales fell 14.46% to Rs 219.87 crore for March 2019 fiscal against sales of Rs 259.4 crore in fiscal 2018.
For fiscal ended March 2017, the firm logged profit of Rs 20 crore and sales of Rs 218.3 crore.
Mandhana Retail Ventures Limited (MRVL) manufactures textile and garments. It promotes, operates, maintains, establishes, and deals in single and multiple brands for garments, fabrics, apparels, and fashion accessories.