Shares of this smallcap company fell around 2 percent in Monday’s trading session despite receiving an order worth Rs. 73.14 crores from the Inland Waterways Authority of India.
With a market capitalization of Rs. 1,348 crores, the shares of Knowledge Marine & Engineering Works Ltd started Monday’s trading session on a higher note at Rs. 1,290 compared to its previous close of Rs. 1,275.95. During the trading session, the shares hit a low of Rs. 1,225, losing around 2 percent and are currently trading at Rs. 1,260 apiece.
According to the exchange filing, the company received the Letter of Award (LoA) from the Inland Waterways Authority of India (IWAI) for the procurement of Fairway-Maintenance on Quantity Based Dredging of Barh Digha Stretch (74 Km) for National Waterway 1 (River Ganga). The contract, valued at Rs 73.14 crores, spans a duration of three years and is further extendable by 2 more years.
Coming onto the company’s financial statements, the revenue zoomed by 35 percent from Rs. 79 crores during the September quarter to Rs. 107 crores in the December quarter. In addition, the net profits increased by 4 percent from Rs. 23 crores to Rs. 24 crores during the same period.
Earlier, in March 2024, the company received a work order worth Rs. 98.06 Crores for three years further extendable by two more years, from the same above entity i.e., Inland Waterways Authority of India (IWAI) for the fairway maintenance of the Farakka Kahalgaon (146 km) stretch of river Ganga under the National Waterway -1.
According to the BSE data, Ace Investor Mr Ashish Kacholia, entering the stock in December 2022, currently holds approximately 3 lakh equity shares equivalent to a 2.75 per cent stake in this company. The current holding value of his investment amounts to Rs. 37.1 crores.
In terms of key financial metrics, the company reported a Return on Equity (RoE) of 53.01 percent and a return on capital employed (RoCE) of 58.62 percent for the period spanning FY22-23. Moreover, during FY22-23 the net profit margin was 23.93 percent.
Headquartered in Maharashtra, Knowledge Marine & Engineering Works was incorporated in 2015. The company is primarily engaged in the business of owning, chartering/ hiring along with manning, operation and technical maintenance of marine crafts and repairs/ maintenance of marine crafts and marine infrastructure and allied works in India.
Written by Vaibhav V Patel
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