Stock surges 14% following ₹91.50 Cr order for EMRS construction

Stock Jumps 14% as Brahmaputra Infrastructure Secures ₹91.5 Crore EMRS Construction Order

Brahmaputra Infrastructure Ltd’s stock surged up to 14% after the company secured a prestigious ₹91.5 crore order from Telecommunication Consultants India Ltd. With a market capitalization of ₹200.23 crore, the stock traded at ₹68.52 per share, reflecting a gain of 7.58% over the previous closing price of ₹64.51.

This new order involves constructing Eklavya Model Residential Schools (EMRS) in Arunachal Pradesh at locations including Aalo Village, West Siang District, and Ziro II Village, Lower Subansiri District. Investors are taking note of the stock’s performance as the Advanced Screener feature highlights potential stocks for portfolios.

Financial Performance

The company’s financials show steady growth, with revenue rising 1% from ₹53.61 crore in Q1FY23 to ₹54.01 crore in Q1FY24, and net profit jumping 26% from ₹3.55 crore to ₹4.49 crore. Over the past year, Brahmaputra Infrastructure delivered a 35.4% return, and its five-year return reached 253.69%, turning a ₹1 lakh investment into ₹3.53 lakh.

Strong Order Book

Brahmaputra Infrastructure holds an order book of around ₹1,150 crore as of June 2024, showcasing its robust project pipeline. Alongside this recent EMRS order, the company secured a contract in June 2024 from the National Highway Authority of India, valued at ₹50.8 crore, for road construction in Assam.

Key Ratios and Shareholding

The company’s return on equity increased from 7.1% in FY22-23 to 9.92% in FY23-24, though its return on capital employed decreased from 12.96% to 8.43%. Brahmaputra’s net profit margin for FY22-23 was 7.8%. Promoters hold a strong 74.05% stake, with retail investors owning 25.53% and no stake held by foreign institutional investors.

Company Overview

Brahmaputra Infrastructure Ltd, a prominent Indian engineering, procurement, and construction (EPC) firm, operates through both its EPC and real estate divisions, consistently delivering results in India’s competitive construction and infrastructure sector.