Synopsis: This small cap company surged 3 percent, after it received this massive order from REC Power Development and Consultancy Limited.
The shares of this infrastructure construction company with expertise in specialized structural projects, including elevated roads, flyovers, bridges, railway overpasses, tunnels, highways, expressways, and runways, is in focus after receipt of work order from a PSU
Ceigall India Ltd’s shares, with market capitalization of Rs. 4,207.92 Crore, on Tuesday made a day high of Rs. 247.45 per share, 3 percent up from its previous day’s close price of Rs. 239.95 per share. The company since its listing date of 8 August ,2024 has given a negative return of 39.14 percent.
Significant Order:
The Company has received an order worth Rs. 585 million(Rs. 58.5 Crores) annually for 35 years (annual transmission charges), against an EPC cost of Rs. 450 crore from REC Power Development and Consultancy Limited, for establishment of 400/220 kV Velgaon Substation (GIS) through Tariff Based Competitive Bidding (TBCB) Process.
Term and conditions involve Contract performance guarantee of Rs. 9.35 crore within 10 days from the date of issue of Letter of Intent, i.e November 23, 2025. Project to be completed in a period of 24 months from the effective date, with its operation and maintenance period of 35 years. This marks a major milestone in strengthening the company’s footprint in the high-voltage power transmission sector.
The company’s order book stood at Rs. 12,598 crore as of H1 FY26, with company looking froward to actively exploring avenues to expand their footprint in Build-Operate-Transfer (BOT) projects, T&D, Renewables pursue standalone O&M opportunities, and engage in strategic collaborations within specialised EPC markets; to drive future growth
The contribution from segments to order book is, 48.5 percent of orders from HAM, 25.5 percent from EPC, 24.8 percent from Tariff based and the rest 1 percent from DBFOT, where major contributors were road/highway projects and renewable energy projects, contributing up to 64.3 percent and 21.8 percent to the order book respectively.
Founded in 2002, Ceigall India Limited is an infrastructure construction company with expertise in specialized structural projects, including elevated roads, flyovers, bridges, railway overpasses, tunnels, highways, expressways, and runways.
Financial highlights, revenue from operation grew by 13.4 percent to Rs. 3,436.7 crore in Q2 FY26 from Rs. 3,029.4 crore in Q2 FY25. EBITDA growth was flat to Rs. 518.4 crore in Q2 FY26 from Rs. 517.7 crore in Q2 FY25. Net profit growth declined by 5.8 percent to Rs. 288 crores in Q2 FY26 from Rs. 304.3 crore in Q2 FY25.
Where in the Q2 FY25 Consolidated Revenue includes Rs. 145 Million (Rs. 14.5 crore) of early completion bonus for one of its HAM projects “Four Laning from Malout via Abohar to Sadhuwali in the State of Punjab under Bharatmala“ in May 2024.
Written by Gourav Pratap SIngh
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