Synopsis:
RKEC Projects Limited won a Rs. 197.59 crore contract from ONGC to revamp and strengthen jetty infrastructure at Nhava Supply Base. This order enhances RKEC’s order book and strengthens its position in marine infrastructure projects.
This infrastructure company is known for executing large-scale civil and marine projects across India. In this news article, discover how a major order from ONGC has triggered a sharp rally in the stock, with shares jumping nearly 17% as investors react to the new contract and its potential impact on future growth.
Rkec Projects Limited‘s stock, with a market capitalisation of Rs. 152.7 crores, rose to Rs. 60.98, hitting a high of up to 16.93 percent from its previous closing price of Rs. 52.15. Furthermore, the stock over the past year has given a negative return of 42 percent.
Order Update
RKEC Projects Limited has received a prestigious work order from the Oil and Natural Gas Corporation Limited (ONGC) Central Procurement Department for revamping the jetty infrastructure at the Nhava Supply Base. The project entails strengthening, repair, and improvement of the jetty, with a total contract value of Rs. 197.59 crore.
This work order, floated by ONGC from New Delhi, marks a significant business win for RKEC Projects Limited and highlights its expertise in infrastructure development.
Q2 Financial Highlights
Revenue for Q2FY26 sharply declined to Rs. 31.03 crore, down 60% YoY from Rs. 76.84 crore a year earlier and 59% QoQ from Rs. 76.07 crore in Q1FY26, reflecting slowed project execution. Profit also dropped to Rs. 1.71 crore, plunging 70% YoY and down 49% QoQ.
Despite recent volatility, the company delivered a robust three-year profit CAGR of 47%, sales CAGR of 24%, and posted an 11% ROE CAGR, highlighting strong long-term financial growth. These metrics suggest underlying operational resilience, even as quarterly results remain skewed due to order cycles and project timelines.
About the company
RKEC Projects Ltd, established in 2005, is an Indian infrastructure construction company focused on civil engineering projects across diverse sectors. Operating in states including Andhra Pradesh, Tamil Nadu, Gujarat, Odisha, Rajasthan, Maharashtra, Kerala, Uttar Pradesh, and Manipur, the company has earned recognition for building complex infrastructure such as bridges, ports, dams, highways, airports, and oil and gas pipelines. RKEC has successfully executed projects for prestigious clients like the Defence sector, Indian Railways, Adani Ports, Vedanta Ltd, ESSAR, IVRCL Limited, and Rashtriya Ispat Nigam Limited.
Written By Fazal Ul Vahab C H
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