The shares of the Infra stock specializing in the Engineering, Procurement, and Construction (EPC) of power transmission lines, substations, solar power systems, and industrial electrification projects hit a 10 percent upper circuit upon receiving a work order from Blue Pine Energy Pvt. Ltd for Rs. 9.62 crores.
Price action
With a market capitalization of Rs. 120.27 crores on Tuesday, the shares of HEC Infra Projects Limited hit 10 percent upper circuit, making a high of Rs. 110.97 per share compared to its previous closing price of Rs. 100.89 per share.
What Happened
HEC Infra Projects Limited is engaged in Engineering, Procurement, and Construction (EPC) projects, has received a domestic work order worth Rs. 9.62 crores from M/s Blue Pine Energy Private Limited for the EPC supply, installation, testing, and commissioning of a 66KV double-circuit transmission line on double-circuit towers, along with 12 km of underground cable.
The project is to be executed within 3 months. This order aligns with the company’s growth strategy and will enhance its presence in the power infrastructure sector, and It also plans to bid for similar projects with private and government entities across various states.
About the Company
HEC Infra Projects Limited, based in Ahmedabad, is a leading EPC contractor specializing in power transmission lines, substations, solar power systems, and industrial electrification projects. The company serves various sectors, including power, oil & gas, infrastructure, and renewables.
Marquee clients
The company has a set of marquee clients, including Adani Ports and Logistics, Essar Oil and Gas, Mother Dairy, Hindalco, Reliance Industries, and more.
Key Insights
HEC Infra Projects Limited has a P/E ratio of 27.27, which is lower than the industry average of 33.96, indicating reasonable valuation. Promoters hold over 65 percent stake. The company has delivered a 3-year average revenue growth of 19.06 percent and net profit growth of 109.29 percent, showcasing good financial performance.
Financials
The company’s revenue rose by 38.2 percent from Rs. 20.1 crore to Rs. 27.79 crore in Q3FY24-25. Meanwhile, Net profit declined from Rs. 3.78 crore to Rs. 1.43 crore during the same period.
Written by Sridhar J
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