The government of India has its wide focus on the infrastructure and road construction of our country. In recent years, the government has introduced many projects in order to improve the road quality. In a span of one year, a minimum of 5 projects related to road infrastructure and construction has been introduced.
The road transport ministry has decided to allocate 91% of its budgetary allocation for national highway construction. Recently, several companies have received Letter of Award (LoA) from the government regarding highway construction. Two of those companies are:
GR Infraprojects
Shares of GR surged nearly 1% in the market and closed at Rs. 1290.4 per share. The stock reached its intra- day high at Rs. 1,335 per piece. The stock has given a return of 24.13% in the last six months.
According to a recent exchange filing dated 29th August 2023, the company executed a concession agreement with the National Highway Authority of India (NHAI) worth Rs. 1,457.2 crore through two its wholly owned subsidiaries named GR Belgaum Raichur (Package- 5) Highway Private Limited and GR Belgaum Raichur Raichur (Package- 6) Highway Private Limited.
The company landed two projects which includes:
Construction of 4 lanes with paved shoulders in Belgaum- Hungund- Raichur Section of NH- 748A (Ext. SH- 20) in the state of Karnataka on Hybrid Annuity Mode under NH(O) (Package- 5). The bid project cost stands at Rs. 716.47 crore. The completion date for this project is 730 days from the date of appointment.
Construction of 4 lanes with paved shoulders in Belgaum- Hungund- Raichur Section of NH- 748A (Ext. SH- 20) on Hybrid Annuity Mode (Package- 6) under NH(O). The bid project cost stands at Rs. 740.77 crore. The completion date for this project is 730 days from the date of appointment.
According to its recent financials, the company has a market capitalization of Rs. 12,136 crore. On a QoQ comparison, the total revenue for Q1FY24 is at Rs. 2,478.23 crore which is increased by 0.7% from Rs. 2461.12 crore in Q4FY23. The company’s net profit was reduced to Rs. 309.84 crore by 20.49% in Q1FY23 from Rs. 389.68 crore in Q4FY23.
GR Infraprojects is a public limited company established in 1995. The company deals with civil construction which includes huge road and railway construction and infrastructure projects across the country.
Brahmaputra Infrastructure
The shares of Brahmaputra closed at Rs. 44.50 levels. The stock gained 4% to reach its intra- day high of Rs. 46 per share. In the last six months, the stock returned 64.56% and 203.33% in the last three years.
On 29 August 2023, the company received a new project from NHAI for a bidding price of Rs. 2,476.41 lakhs. NHAI has asked the company for operation and maintenance of descoped length of 2 lane with Paved Shoulder Tanot Jaisalmer to Jaisalmer Bypass of NH- 68 and 2/4 Lane with Paved Shoulder of Jaisalmer-Phalodi Section of NH-11 in the State of Rajasthan.
According to its recent financials, the company has a market capitalization of Rs. 141.29 crore. On a QoQ comparison, the total revenue for Q1FY24 is at Rs. 53.61 crore which is increased by 25.4% from Rs. 42.75 crore in Q4FY23. The company’s net profit increased to Rs. 3.55 crore by 65.89% in Q1FY23 from Rs. 2.14 crore in Q4FY23.
Headquartered in Delhi, Brahmaputra Infrastructure Limited is a multifaceted construction company. The company takes up big projects which include highways, buildings, airports and many more.
Written by Bhumika Khandelwal
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