Shares of Ircon International Ltd shares were trading at Rs 82.90 on Tuesday’s session, down around 1.01 percent from the previous day’s closing price of Rs 83.75. The company’s market capitalization is Rs 7,792 crore.
In the last year, the stock gained 120 percent giving a multibagger return from Rs 37.80 to current levels, Therefore, if the investor purchased 1 lakh shares of the company a year ago, their holdings are now worth 2.20 lakhs! In addition, the stock has increased by 60% from Rs. 51.90 to its present value in just three months.
Ircon International Limited (IRCON) was established in 1976, Company is engaged in the development and construction of railway projects and highways. Additionally, the business specializes in enormous, technologically challenging infrastructure projects with integrated engineering and construction capabilities.
The business serves both domestic and international clients. The company’s order book is estimated at about Rs 35,195 crore as of March 2023.
As per the financials, Operating revenue climbed from Rs 2,346 crore in Q3 to Rs 3,780 crore in Q4. Similarly, net profit improved from Rs 199 crore to Rs 243 crore.
On a year-on-year basis, revenues increased by 40%, from Rs 7,379 crores in FY 21-22 to Rs 10,367 crores in FY 22-23. During the same period, net profit climbed by 38%, from Rs 532 crores to Rs 733 crores.
Profitability ratios show an upward trend.ROE improved from 12.69 percent in FY 21-22 to 14.68 percent in FY 22-23, while ROCE moved from 10.37 percent to 11.81 percent.
During the same period, the net profit margin remained constant for both years at 7 percent and the debt-to-equity ratio stands at 0.29. In FY23, the earnings per share (EPS) was 8.14.
The Indian government is emphasizing infrastructure development, with the railway being one of them. In the most recent budget, the government committed Rs.2.4 lakh crore to Indian Railways.
Several government programs are pushing railway infrastructure. The industry has tremendous growth potential in the upcoming years, and the company has the capacity and opportunities to complete significant projects.
As per the latest shareholding pattern, promoters of the company hold a 73.18 percent stake and foreign institutional investors hold a 3.99 percent stake in the company for FY 22-23.
Written by Omkar C
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.
