Shares of Capacite Infraprojects Ltd opened higher on Monday and hit an intraday high of ₹144.80 logging over a 12 percent rise. At the end of the session, the stock closed at Rs 138.25 which is about 7.4 percent higher than the previous closing levels of Rs 129.45. In the last year, the stock has jumped around 21.69 percent ranging from Rs 113.90 to the current price level.
The company received orders for a residential project worth Rs 224 crore from Raymond’s real estate business, which is probably a factor behind today’s spike in stock price.
Capacite Infraprojects Limited is a fast-growing construction company focused on residential, Commercial, and institutional buildings, it provides end-to-end construction services for residential buildings, multi-level car parks, and corporate office buildings. The company is capable of mechanical, electrical, plumbing, and finishing works.
Having a quick walkthrough of the financials reported by the company, on a YoY comparison of the metrics, the revenues significantly improved from Rs 880 crores during FY20-21 to Rs 1,335 crores in FY 21-22. The PAT numbers have shifted upwards within the timeframe mentioned from Rs 2 cores to a profit of Rs 44 crores.
Despite that, the company got a downgrade in its ratings. According to the Fitch Group company India Ratings and Research, in December 2022, the company had an unexecuted order book of Rs 97.6 billion, providing strong revenue visibility of 7.4 times FY22 revenue. However, in February, Fitch downgraded Capacit’e Infraprojects Long-Term Issuer Rating to ‘IND BB+’ from ‘IND BBB+’ and placed it on Rating Watch with Negative Implications.
According to the latest data pertaining to the shareholding pattern, promoters of the company hold a 38.64 percent stake, and Foreign Institutional Investors (FIIs) hold a 6.52 percent stake in the company for FY 22-23.
Written by Omkar
