The shares of one of the largest specialized Engineering, procurement, and Construction (EPC) companies with operations across the world, in focus upon receiving new work orders worth Rs. 2,774 Crores.
Price Action
With a market capitalization of Rs. 22,176 Crores, the shares of Kalpataru Projects International Limited opened at Rs. 1,355.50 and made an intraday high of Rs. 1,381.20 per equity share by gaining upto 2 percent from its previous close of Rs. 1,352.95.
What Happened
Kalpataru Projects International Limited along with its international subsidiaries has secured new work orders for a consideration of Rs. 2,774 Crores, for its Transmission & Distribution (T&D) business in overseas markets, an EPC project for the Extension of the Airport from the Airports Authority of India (AAI) and Design & Build project for residential building in India.
Also read: Nikhil Kamath stock jumps 5% after it acquires 15.8% stake in GetStan Technologies
Management Message
Manish Mohnot, MD & CEO, KPIL, said, “We are pleased with the continuous ordering momentum, especially in our Transmission & Distribution (T&D) and Buildings and Factories (B&F) business.
The prestigious order from the Airports Authority of India (AAI) will mark our entry into the growing domestic airport sector and further diversify our clientele. The orders in the T&D and B&F business have further enhanced our market position and significantly strengthened our order book, thereby improving the growth visibility for these businesses going forward.
With the above order wins, our YTD order intake has reached around Rs. 9,800 Crores and additionally, we have greater business visibility. We continue to focus on delivering sustainable growth and improved profitably going forward.”
About the Company
Kalpataru Projects International Limited is one of the largest specialized Engineering, procurement and Construction (EPC) companies engaged in Power Transmission & Distribution, Buildings & Factories, Water Supply & Irrigation, Highways and Airports, Railways, Oil & Gas Pipelines, and Urban Mobility (Flyovers & Metro Rail).
Also read: 7 Stocks to benefit from Govt’s new PM E-DRIVE scheme worth ₹ 10,900 Cr for EVs
It has a global presence across 74 countries with live projects in 30+ countries and as of June 2024, it has a strong order book of Rs. 57,195 Crores, out of which 54 percent are Domestic orders and 46 Percent are International Orders
Its total order book breakdown from different business segments consists of, Transmission and distribution 36 percent, buildings, and factories 20 percent, water 17 percent, Oil & gas 15 percent, Railways 7 Percent, and Urban Infra 5 percent.
Financials and Ratios
Its Revenue from operations grew by 8.16 percent YoY from Rs. 4,241 Crores in Q1FY24 to Rs. 4,587 Crores in Q1FY25, accompanied by profits of Rs. 113 Crores to Rs. 84 Crores.
In terms of Return ratios, it has reported a return on equity (ROE) of 10.4 percent and a return on capital employed (ROCE) of 16 percent. It has reported a debt-to-equity ratio of 0.78.
Written by: Bharath K.S
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
