Stock in focus after receiving work order worth ₹17 Cr order from Petronet LNG

Published 31-12-2024, 11:51 am
© Reuters.  Stock in focus after receiving work order worth ₹17 Cr order from Petronet LNG

The shares of the project management company fell 2 percent despite the company bagging a prestigious work order from Petronet LNG (NS:PLNG) Limited for Rs 17.85 crore.

With a market capitalization of Rs 191.54 crore, the shares of Konstelec Engineers Ltd (NS:KONS) were trading at Rs 127 per share, decreasing around 2 percent as compared to the previous closing price of Rs 129.40 apiece.

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Reason for rise:-

According to the company filing, Konstelec Engineers Limited bagged a prestigious work order from Petronet LNG Limited for Site Enabling Works for PDH PP Plant with Ethane and Propane Storage And Handling Facilities at Dahej, Gujarat. The order is worth Rs 17.85 crore.

Financial performance

Examine the company’s financial condition, revenue has fallen by 31 percent from Rs 122 crore in H2FY24 to Rs 84 crore in H1FY25, and during the same time frame, net profit fall by 50 percent from Rs 6 crore to Rs 3 crore.

Project Profile

The company operates across 22 states, managing major projects like HPCL’s Rajasthan refinery, India’s first bamboo-based ethanol refinery in Assam, NALCO’s aluminum expansion in Orissa, LNG terminals, cryogenic plants, and critical E&I works for various refineries and industrial facilities nationwide.

Clientele

The company boasts a strong clientele, including Reliance Industries (NS:RELI), Engineers India (NS:ENGI), JSW Steel (NS:JSTL), Indian Oil (NS:IOC), BPCL, HPCL, CPCL, MRPL (NS:MRPL), ISRO, ACC (NS:ACC), BARC, Dangote, Adani, NTPC (NS:NTPC), Tata Steel (NS:TISC), Navin Fluorine, IGPL, and others across diverse industries.

Footprint and Revenue Breakup

The company operates in over 15 Indian states and Nigeria. In FY24, its revenue comprised ~5% from product sales, ~10% from service sales, and ~85% from composite supply, highlighting its diverse geographical presence and a primary focus on composite offerings.

Order Book:-

As of October 2024, the company holds orders worth Rs. 614 Crores, including Rs. 254 Crores executed and Rs. 360 Crores ongoing. Recent awards include Rs. 39.63 Crores (NALCO), Rs. 12.58 Crores (NALCO), Rs. 6.99 Crores (Talcher Fertilizers), and Rs. 28.50 Crores (Arcelor Mittal).

Company Profiles:-

KEPL undertakes contracts for the installation, testing, commissioning, and maintenance of electrical and electromechanical equipment in industries such as oil, gas, refineries, space, petrochemicals, chemicals, cement, and textiles.

Written by:- Abhishek Singh

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