A wild rise: Sulabh Engineers & Services has generated over 2700% returns in last 10 months

MUMBAI: When it comes to stock markets at times things can be stranger beyond one's wildest imagination. How else would you describe a scrip that has hit its upper circuit - maximum permissible price level for the day -- on each of the trading session of 2012? BSE listed Sulabh Engineers & Services has actually achieved this feat. Generating over 2700% returns in last 10 months the company's market capitalisation has climbed above Rs 400 crore.

Just a quick glance at its financial numbers is sufficient to reveal that that is not the reason for such a gallant stock performance. The company is defined as a non-banking finance company ( NBFC) on BSE and had a profit of Rs 0.15 crore in FY12. It reported a turnover of Rs 0.38 crore and over 70% of its operating expenditure was on director's remuneration and legal expenses. The company doesn't even have a website something highly uncommon in today's times. And the only contact number available on BSE's website wouldn't answer calls.

How this company in BSE's trade-to-trade group has generated returns in last 10 years that have beaten much bigger and stronger companies over their lifetime is anybody's guess.