Multibagger Logistic Stock In Focus On Boosting Its Legacy With A New Warehouse and Remarkable Growth

Tuesday saw the shares of North Eastern Carrying Corporation Ltd (NECC) exchange for Rs 37.88 per share with the stock's 52-week highest being Rs 44.44 while the lowest was Rs 21.99. With a market capitalization of Rs 360 crore, NECC has shown remarkable resilience and growth by giving multibagger returns of 700% in the last five years.

NECC has been involved in the logistics business for more than 56 years and continues to offer a wealth of experience and creativity, enabling the organisation to satisfy the logistical needs of various sectors. The Firm has established long and strong bonds with the key companies and examples include: ITC Ltd, Hindalco Industries, Tata Steel, GAIL, Mankind Pharma and TVS further affirming its superiority and competency in providing logistics solutions to sophisticated clients.

NECC has expanded its ventures across various business verticals which include Express Parcel Load, Full Truckload Services, Bulk Transportation, Over-Dimensional Cargo (ODC) Movements as well as Warehousing and Distribution. The company is also seeking to enhance its capabilities by developing a larger cutting-edge warehouse of 183,000 sq. ft in Tauru, Gurgaon. The warehouse which is 5 acres sized is designed to easily integrate modern electric material handling equipment and multi-level racking systems, staff housing as well as a 2MW solar panel on the rooftop. Being fully funded through company reserves, the warehouse is expected to increase the revenue generation stream of the business by increasing the operational efficiency levels and reducing the costs associated with first and last-mile delivery, especially when using electric trucks.

To show a higher level of confidence, the promoters NECC were able to increase their holdings to 4375355 shares in September moving them from 52% to 30 % in June to 54.19%

Over the course of its 35 years in business, the National Economic & Commercial Corporation has diversified into all areas of logistics with a footprint of more than 250 offices across the territory of India. The company has been able to move from small parcels to large-scale projects and to do this, they have invested in sophisticated Enterprise Resource Planning systems. Their services include bulk logistics, special transport, as well as storage services which are enhanced by partnerships with such companies as Bajaj Auto and Minda.

As it has been demonstrated, NECC does not only integrate novel ideas but also focuses on their sustainability such as the Tauru warehouse that is about to be built. This will help them develop Polish solutions that are not only accurate but also environmentally friendly in terms of logistics operations.

With a buoyant equity base, continued geographic expansion, as well as brand equity of trust, NECC is also continuing to strengthen its place in the logistics market of India and is looking forward to the development of changes.