The Shares of this leading infrastructure development company, rose over 3 percent after being declared a qualified bidder for setting up a tariff-based 185 MW/370 MWh standalone battery energy storage system.
Share price variations:
With a market capitalization of Rs. 8,798.10 crores, HG Infra Engineering Ltd (NS:HGIN) rose to an intraday high of Rs. 1,378.50 representing a 3.2 percent increase from its previous closing price of Rs. 1,334.50 per share.
Is HG Infra Engineering in your watchlist? Do you want to know which stocks should be a part of your portfolio? Access our Advanced Screener feature here
Reason for the Rise:
According to exchange filings, HG Infra Engineering Ltd. has been officially recognized as a qualified bidder by NTPC (NS:NTPC) Vidyut Vyapar Nigam Limited. This qualification is for participating in a project to set up a 185 MW/370 MWh portion of a larger 500 MW/1000 MWh standalone battery energy storage system in India.
The project will receive viability gap funding, the financial support to make the project economically viable as per the terms laid out in the Request for Selection. The tariff rate is fixed at Rs. 2,38,000 per MW/ per Month
Recent Contracts Received:
In October, the company, through its subsidiary, received an NHAI order worth Rs. 862.11 crores for constructing a 4-lane and 6-lane access-controlled highway from the TN/AP border to Renigunta, Andhra Pradesh, under the Hybrid Annuity Model.
In September, it secured another NHAI order worth Rs. 610.11 crores for a 4-lane elevated corridor from Kalimandir to Dimna Chowk, Baliguma, and an order from Central Railway for the construction of the New BG Line between Dhule and Nardana, valued at Rs. 716.11 crores.
Additionally, an order from the Ministry of Road Transport & Highways for upgrading a 6-lane road in Gujarat, worth Rs. 781.11 crores, was also received.
Financial Performance:
For Q1FY25 the company reported a net profit increase of 8 percent to Rs. 162.57 crores compared to Rs. 150.39 crores in Q1FY24, while revenue from operations also marked an increase of 13 percent to Rs. 1,528.04 crores from Rs. 1,351.16 crores in comparison to the same period.
The company has an ROE of 24.61 percent and an ROCE of 24.15 percent in FY24. The company’s shares have delivered a 29 percent return over the past six months and 59 percent year-to-date.
As of Q1 FY25, the company’s order book stands at Rs. 15,641.80 crores, with 73.21 percent from roads and Highways, 15.97 percent from railway and metros, and 10.81 percent from Solar power projects and about 91 percent from the total order book values relate to projects from Government.
About the company:
H.G. Infra Engineering Limited is a leading player in the roads and highways sector with over 15 years of execution experience. The company provides EPC services on a fixed-sum turnkey basis and undertakes civil construction and infrastructure projects, including road construction, railways, metros, and solar power projects.
As of Q1 FY25, the company is working on 22 active projects and 10 HAM projects, with a presence in 12 Indian states.
Written By: Joseph Pv
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
The post Infra stock jumps 3% after receiving order from NTPC Vidyut Vyapar Nigam for battery energy storage system appeared first on Trade Brains.
To understand more about InvestingPro, watch this video: https://www.youtube.com/watch?v=_WfQcN5vjI