MIC Electronics Share Price Rallies Over 33% in 5 Days After GST Rate Cuts

MIC Electronics share price has witnessed a sharp surge following the recent GST rate cuts by the government. The company is a Hyderabad-based manufacturer of LED video displays and lighting solutions. The company's products, which were earlier taxed at 28%, will now attract only 18% GST. This will boost its competitiveness and margins.

MIC Electronics Share Price Soars in the Past 3 Sessions

Following the announcement, MIC Electronics share price has seen an impressive rally of 52.70% over the past three trading sessions. In the last five days alone, the stock has jumped over 33%, reflecting growing investor confidence.

This rally has also helped the stock recover significantly from its recent lows. MIC had touched its 52-week high of ₹114.79 on September 19, 2024, and had slipped to a 52-week low of ₹44.20 on August 8, 2025. The latest uptrend suggests renewed momentum amid improving fundamentals and positive sectoral developments.

Boost from New Railway Contract

Adding to the GST-driven optimism, MIC Electronics recently secured a ₹1.73 crore contract from South Central Railway and Northern Railway. The project involves railway-related LED display and lighting work, aligning with the company's core expertise.

The contract win is expected to not only support near-term revenue growth but also reinforce MIC’s position in the railway infrastructure segment.

MIC Electronics Q1FY26 Financial Performance

In its Q1FY26 earnings (quarter ended June 2025), MIC Electronics reported:

• Total Revenue: ₹11.75 crore, up from ₹10.93 crore in Q1FY25
• Net Profit: ₹1.67 crore, down from ₹1.97 crore in Q1FY25
• Profit Before Tax: ₹1.67 crore
• Tax Expenses: Nil

While the revenue growth is encouraging, the decline in net profit indicates some pressure on operational efficiency or margins, possibly due to input cost inflation or contract execution delays.

Read more: HCLTech Names Ex-NITI Aayog CEO Amitabh Kant as Independent Director.

Conclusion

The recent GST rate cut from 28% to 18% on LED products is a major tailwind for MIC Electronics, making its products more price-competitive in the market. Combined with the recent railway contract and rising investor interest, the company appears poised for sustained growth in the coming quarters.

Despite a dip in net profit, the company’s revenue growth and strategic wins provide a positive outlook to investors with a demat account. With strong sectoral support and improved tax structure, MIC Electronics is firmly back on the investor radar, reflected in its over 33% rally in just five days.

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