During Monday’s trading session, the shares of a company engaged in the business of civil and defence construction hit a 5 percent upper circuit at Rs. 132.39 on NSE, after the company announced securing a work order worth nearly Rs. 186.7 crores from Maharashtra Maritime Board.
With a market capitalisation of Rs. 317.6 crores, the shares of RKEC Projects Limited opened in the green at Rs. 132.39, as against its previous closing price of Rs. 126.09.
What’s the News:
RKEC Projects Limited received a work order, for an amount of nearly Rs. 186.67 crores, from the Maharashtra Maritime Board.
According to the latest regulatory filings with the NSE, this order involves the development of Passenger Jetty and Terminal Facilities at Radio Jetty near the Gateway of India in Mumbai, executed on an EPC mode.
Previous Orders:
On January 17, RKEC Projects Limited was awarded a work order worth Rs. 39.5 crores for CSA WORKS at HPPL Haldia DT and Panagarh RT.
On 16th March, the company received two work orders totalling around Rs. 406.6 crores.
The first order focuses on the rehabilitation, up-gradation and completion of the remaining work on the section from km 155 to km 181 (End of Jarwa to Rangat) of NH-4, spanning 26 km, to convert it to an intermediate Lane/2-Lane road with hard shoulders in the Union Territory of A&N Islands, executed on an EPC basis.
The second work order was for the construction of Balance Works of a Major Bridge over Middle Strait Creek between km 106,590 to km 108.553 of NH-4, connecting South Andaman & Baratang Island in the Union Territory of the Andaman & Nicobar Islands.
Financials:
The company reported a significant growth in the revenue from operations, experiencing a year-on-year rise of nearly 120 percent, increasing from Rs. 38.5 crores in Q1 FY24 to Rs. 84.7 crores in Q1 FY25.
Similarly, during the same period, the company’s net profit increased from Rs. 2.8 crores to Rs. 5.3 crores, representing a growth of around 89.3 percent YoY.
Stock Performance
The stock has delivered positive returns of nearly 75.4 percent of returns in one year, and around 30 percent of positive returns in the last six months. So far in 2024, the shares of RKEC Projects have given positive returns of about 78.2 percent.
About the Company:
RKEC Projects Limited is primarily engaged in construction activities, specialising in the business of civil and defence construction such as the construction of bridges, ports, dams, marines, high-rise structures, airports, cross water, roads, highways, oil & gas pipelines, complexes and environmental structures across India.
Written by Shivani Singh
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