A micro-cap infrastructure stock has drawn investor interest after securing a Rs.22.50 crore work order from Hoerbiger India Private Limited. The contract, along with strong quarterly performance, highlights the company’s growing momentum in the engineering space and signals the potential for sustained growth in upcoming quarters.
During Thursday’s trading session, Lakshya Powertech Ltd opened at Rs.189.50 apiece, falling 5 percent from its previous close of Rs.199.45 each. Since its IPO listing in October 2024, the shares have delivered 10 percent returns from the IPO issue price of Rs.180.
Order Details
Lakshya Powertech has secured a work order worth Rs.22.50 crores from Hoerbiger India Private Limited, highlighting its growing presence in the industrial services sector. The scope of work includes compressor dismantling and inspections, compressor skid packaging, and supply of BOP (Balance of Plant) material. The domestic contract is scheduled to be executed over 12 months.
Lakshya Powertech currently holds an active order book exceeding Rs.78 crores, with execution timelines ranging from 2 to 6 months. Key clients include Powerica Ltd, AESL, and NTT Global. The company is engaged in diverse project types such as DG sets, fuel systems, and EPC projects. Sector-wise, its revenue is derived 60 percent from oil and gas and 40 percent from data centers.
Business Developments
Lakshya Powertech offers a wide range of services across various sectors, including Oil and Gas, Power, Renewable Energy, and Industrial. Their service offerings encompass Engineering, Procurement, Construction, and Commissioning (EPCC), as well as Integrated Operation and Maintenance Services. Additionally, they provide Special Services, Testing and Commissioning, Overhauls and Refurbishing, and Trading of Spare Parts, catering to diverse industry needs with a focus on quality and efficiency.
Lakshya Powertech currently operates its Data Center services in Mumbai and Pune. The company specializes in designing and implementing Tier-III and IV Data Centers, focusing on both Electrical and Mechanical Systems. It has successfully installed and commissioned 102MW of backup power and a 2250KL fuel handling system for four of India’s renowned data centers.
In its latest financial update for H2 FY25, Lakshya Powertech reported revenue of Rs.93 crore, up 6.9 percent from Rs.87 crore in H2 FY24. Moreover, revenue inclined 38 percent sequentially from Rs.67 crore in H1 FY25, indicating strong operational performance. The company posted a net profit of Rs.8 crore, down 20 percent from Rs.10 crore in H2 FY24. Compared to Rs.7 crore in H1 FY25, net profit rose 14.3 percent, showing an improvement in profitability.
The company has a Return on Capital Employed (ROCE) of 19.21 percent and a Return on Equity (ROE) of 16.58 percent. Its Price-to-Earnings (P/E) ratio stands at 13.45, lower than the industry average of 34.6. Furthermore, the company maintains a current ratio of 4.7, a debt-to-equity ratio of 0.27, and an Earnings Per Share (EPS) of Rs.14.83.
Written by – Siddesh S Raskar
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