The infrastructure sector in India is an important driver of the country’s economic growth. Infrastructure stocks in India refer to companies involved in developing and operating infrastructure projects such as roads, bridges, airports, and power plants. The infrastructure stocks in India offer promising investment opportunities.
Listed below are such infrastructure stocks whose price is under Rs. 100:
Niraj Cement Structurals Ltd
With a market capitalization of Rs. 200 crores, the shares of Niraj Cement Structurals started Friday’s trading session on a higher note at Rs. 47.38 compared to its previous close of Rs. 46.08. During the trading session, the shares hit a high of Rs. 50, gaining around 8 percent and closed the day at Rs. 49.79 apiece.
Looking at the company’s financial statements, the revenue jumped by 6 percent from Rs. 126.66 crores during the December quarter to Rs. 134.05 crores in the March quarter. In addition, the net profits magnified by 454 percent from Rs. 1.31 crores to Rs. 7.26 crores during the same timeframe.
Due to increasing operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 2.45 percent during FY 22-23 to 6.37 percent in FY 23-24, and, the return on capital employed (RoCE) zoomed from 6.73 percent to 14.29 percent during the same timeframe. Furthermore, the net profit margin increased from 0.71 percent during FY22-23 to 2.06 percent during FY23-24.
The company is in the business of speciality engineering construction and infrastructure. It provides end-to-end solutions, highways, bridges, water supply and drainage, irrigation, land storm water drainage, expressways, turnkey projects roads, tunnels and other infrastructural work.
Udayshivakumar Infra Ltd
With a market capitalization of Rs. 379 crores, the shares of Udayshivakumar Infra started Friday’s trading session on a flatter note at Rs. 72.15 compared to its previous close of Rs. 72.19. During the trading session, the shares hit a low of Rs. 67.10, losing around 6 percent and closed the day at Rs. 68.40 apiece.
Coming onto the company’s financial statements, the revenue decreased marginally by 1.2 percent from Rs. 161 crores during the December quarter to Rs. 159 crores in the March quarter. On the other hand, the net profits increased by 133 percent from Rs. 6 crores to Rs. 14 crores during the same period.
Due to increasing operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 11.12 percent during FY 22-23 to 17.22 percent in FY 23-24, and, the return on capital employed (RoCE) zoomed from 14.24 percent to 21.89 percent during the same timeframe. Contrastingly, the net profits decreased marginally from 5.59 percent to 5.22 percent during the same time period.
The company primarily operates in Karnataka. They bid for Roads, Bridges, Irrigation and Canals, and Industrial Area construction, including National Highways, SHDP, Government Dept. such as Karnataka Public Works Ports & Inland Water Transport Department, Davanagere Harihara Urban Development Authority, etc.
The major ongoing projects of the company are the development of the Chitradurga Branch Canal valued at Rs. 36.08 crores, and the construction of a bridge spanning the Krishna River on Jamkhandi-Athani Road, valued at Rs. 60.65 crores.
Nila Infrastructures Ltd
With a market capitalization of Rs. 452 crores, the shares of Nila Infrastructures started Friday’s trading session on a higher note at Rs. 11.65 compared to its previous close of Rs. 11.35. During the trading session, the shares hit a high of Rs. 11.73, gaining around 3 percent and closed the day at Rs. 11.36 apiece.
Looking at the company’s financial statements, the revenue surged by 153 percent from Rs. 34.31 crores during the December quarter to Rs. 34.31 in the March quarter. In addition, the net profits increased by 66 percent from Rs. 3.21 crores to Rs. 5.33 crores during the same timeframe.
In terms of key financial metrics, the company reported a Return on Equity (RoE) of 7.82 percent and a return on capital employed (RoCE) of 13.09 percent for the period spanning FY23-24. Furthermore, during the same period, the net profit margin stood at 6.18 percent.
As of March 31, 2023, the company’s order book stands at Rs. 638.99 crores. Approximately 93 percent of these orders pertain to affordable housing projects, with the remaining 3 percent allocated to civic urban infrastructure projects.
Recently secured multiple work orders from the Gujarat Housing Board for the construction and redevelopment of integrated group housing facility and construction and redevelopment of affordable housing for consideration of Rs. 126 crores and Rs. 287.50 crores.
Written By Vaibhav Patil
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