In Monday’s trading session, shares of one of the leading engineering and construction companies, specializing in executing large-scale infrastructure projects across diverse sectors, is in focus upon receiving new work for Rs. 4,787.20 crores from Maharashtra State Road Development Corporation Ltd.
Price action
With a market capitalization of Rs. 18,357 crores on Monday, the shares of Afcons Infrastructure Limited is trading at Rs. 479.25 down by 4 per cent making a low of Rs.465.55 per share compared to its previous closing price of Rs. 498.80 per share.
What Happened
Afcons Infrastructure Limited, specializing in executing large-scale infrastructure projects across diverse sectors, has secured a new contract worth Rs. 4,787.20 crores from Maharashtra State Road Development Corporation Ltd. (MSRDC). The company has emerged as the lowest bidder (L1) for the construction of two packages (E5 and E7) of the Access Controlled Pune Ring Road (East) project.
Package PRR E5 is valued at Rs. 2,718.50 crores, while Package PRR E7 is worth Rs. 2,068.70 crores. Both packages have a completion period of 36 months. This significant development further strengthens Afcons’ position in the infrastructure sector.
About the Company
Afcons Infrastructure Limited, a part of the Shapoorji Pallonji Group, is one of India’s leading engineering, procurement, and construction (EPC) companies. With over 40 years of experience, Afcons has built a strong reputation for successfully delivering large-scale infrastructure projects across sectors such as transportation, water, power, urban development, and industrial infrastructure.
The company specializes in executing complex projects, including roads, bridges, tunnels, metro systems, ports, and industrial facilities. Afcons Infrastructure Limited is a leading infrastructure construction company involved in the execution of large and complex projects both in India and overseas. As of Q2 FY25, Afcons Infrastructure Limited has a strong order book of approximately Rs. 34,152 crores.
Orderbook Segmentation
Afcons Infrastructure Limited’s order book is diversified across key sectors, with 38 percent in metro projects, 19 percent in bridges and elevated corridors, 25 percent in hydro and underground projects, 6 percent in surface transport, 7 percent in marine and industrial projects, and 5 percent in oil and gas, showcasing its broad expertise across infrastructure domains.
Shareholding Pattern
The ownership structure of Afcons Infrastructure Limited is as follows: the promoters hold 50.17 percent, Foreign Institutional Investors (FIIs) own 8.20 percent, Domestic Institutional Investors (DIIs) control 7.86 percent and the public holds 33.78 percent.
Financials
The company’s revenue declined by 10 percent from Rs 3,433.84 crore to Rs 3,089.58 crore in Q2FY24-25. Meanwhile, Net profit rose from Rs 104.17 crore to Rs 135.44 crore during the same period.
Key Financial ratios
Afcons Infrastructure Limited has an impressive Return on Equity (RoE) of 18.68 percent and a Return on Capital Employed (RoCE) of 20.25 per cent. Furthermore, the company’s debt-to-equity ratio is 0.92.
Written by Sridhar J
