It seemed like just another ordinary stock in the market until the numbers started speaking volumes. Lotus Chocolate, a subsidiary of Mukesh Ambani’s Reliance Industries Limited, has recently taken the financial world by storm. Investors who were fortunate enough to hold shares in this company have witnessed an extraordinary 250% return over the past year, with a remarkable 75% surge in July alone.
Lotus Chocolate Company, under the umbrella of Reliance Consumer Products Limited (RCPL), focuses on manufacturing chocolate and cocoa products. It was established in 1989 and began operations in 1992. Acquired by RCPL on May 24, 2023, Lotus Chocolate has since been competing fiercely with giants like Britannia Industries and Nestle India.
The company's success is not limited to market performance; its financial metrics have shown impressive growth. For the first quarter of FY25, Lotus Chocolate reported a staggering 4700.87% increase in net profit and a 337.4% rise in revenue compared to the same period last year. Specifically, the net profit jumped to Rs 9.41 crore from Rs 19.60 lakh, and revenue soared to Rs 141.3 crore from Rs 32.31 crore.
This performance is further highlighted by the company's stock activity. Lotus Chocolate shares hit an upper circuit of 5% on the first trading day of the week, closing at Rs 1035.05. This marked the eighth consecutive trading day the stock hit an upper circuit, demonstrating the market's optimistic sentiment. In just one week, the stock rose by 28%, and over the last nine days, it surged by 52%.
Lotus Chocolate’s flagship brand, 'Chuckles', remains a favourite among children, contributing significantly to the company's reputation. The company's ability to supply products globally, from local bakeries to multinational corporations, underscores its robust market presence.
As the financial figures and market performance reveal, Lotus Chocolate is not just a stock but a symbol of strategic growth and market dominance under the leadership of Mukesh Ambani.
