A micro-cap infrastructure stock surged 2 percent after bagging a Rs.39 crore maintenance contract from Rajasthan Rajya Vidyut Prasaran Nigam Limited. The order adds to the company’s growing portfolio in power infrastructure services and is expected to enhance its presence in the transmission and maintenance segment.
Price Movement
During Monday’s trading session, shares of Kay Cee Energy & Infra Ltd jumped to an intraday peak of Rs.223.85 each, reflecting a 2 percent upper circuit from the prior closing price of Rs.219.50 per share.
What Happened
Kay Cee Energy & Infra Ltd has received a significant work order from Rajasthan Rajya Vidyut Prasaran Nigam Limited (RVPNL) for the deployment of an Emergency Response Team dedicated to the maintenance of Extra High Voltage (EHV) Lines under the RVPN Transmission System. This contract includes responsibilities such as preventive and periodic maintenance, major breakdown restoration, emergency line works, line repairs, and upkeep of the Emergency Restoration System (ERS).
This domestic contract is valued at Rs.39,03,28,457 (inclusive of GST) and is set to be executed over 60 months from the date of issuance of the letter of acceptance. The order underscores the company’s growing role in critical power infrastructure support and its capability to manage high-value, long-term maintenance operations.
Services and Capacity
The company offers end-to-end EPC services for power transmission and distribution systems, covering both overhead and underground lines, as well as substation construction and automation. It is equipped to handle the operation and maintenance of substations up to 400 kV and EHV lines up to 765 kV, including emergency restoration systems for fault repairs.
Growth Plans
The company aims to strengthen its position as a fully integrated EPC provider by establishing a dedicated manufacturing unit to produce key materials used in EPC contracts. This includes line and substation hardware, clamps, connectors, bird flight diverters, structural components for substations and solar plants, and electrical panels.
Earnings Report
According to its recent financial updates, Kay Cee Energy & Infra Ltd reported remarkable consolidated revenue of Rs.37.86 crores in H1 FY25, marking a 57 percent increase from Rs.24.13 crores in H1 FY24. In addition, the company saw a significant surge of 80 percent in net profit to Rs.5.00 crores, compared to Rs.2.79 crores in the same period last year.
Ratio Analysis
The company has a Return on Capital Employed (ROCE) of 19.66 percent and a Return on Equity (ROE) of 17.65 percent. Its Price-to-Earnings (P/E) ratio stands at 35.58, higher than the industry average of 23.25. Furthermore, the company maintains a current ratio of 3.16, debt-to-equity ratio of 0.61, and an earnings per share of Rs.6.17.
Written by – Siddesh S Raskar
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