This engineering company with business in several units like batteries, electronics, and Defence is in focus as it received an order for Western railways for the Kavach system.
Share Price Movement
With a market capitalization of Rs. 13,345 Crore, the stock of HBL Engineering opened at Rs. 492.15 on Wednesday, around the same level as yesterday’s close, and after opening, it made a high of Rs. 495.85, up 0.42 percent. The stock is expected to show an upward move on Friday.
Order Update
The Company has received a contract worth Rs. 145.83 Crores from Western Railways for the provision of the Kavach, which is an automatic train protection system. The total number of stations that HBL will be servicing as per the contract is 48, and the total Kilometers covered will be 428 km. The time to complete the contract is 730 days. The Contract value is inclusive of 18% GST.
Also read: Infra stock in focus after reporting Q4 results; Announces capex plan for expansion
Financial Highlights
The company reported a 24.70 percent YoY decrease in revenue from Rs. 599 Crore in Q3FY24 to Rs. 451 Crore in Q3FY25. On a QoQ basis, the company reported a decrease of 13.43 percent in revenue from Rs. 521 Crore in the previous quarter.
Their Net profit saw a decrease of 17.72 percent YoY from Rs. 79 Crore to Rs. 65 Crore for the same period. On a QoQ basis, the company reported a decrease of 25.28 percent in Net profit from Rs. 87 Crore in the previous quarter.
About the Company
HBL Engineering Limited, formerly known as HBL Power Systems Ltd, is an Indian company with its roots in battery manufacturing since its establishment in Hyderabad in 1977, and has since diversified into a broad spectrum of engineered products and services.
The company is a key player in the implementation of the Kavach system for the Indian Railways, They have received multiple contracts for the supply and implementation of the system.
Written By Abhishek Das
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