A strong order book is crucial for an infrastructure company as it serves as a key indicator of future revenue and operational stability. It provides visibility into upcoming projects, allowing the company to plan resources and manage cash flow effectively.
A healthy order backlog enhances investor confidence, demonstrating the company’s ability to secure contracts and maintain market competitiveness.
Here is a list of few infrastructure companies with robust order books
PNC Infratech Limited is a prominent player in the infrastructure development, construction, and management sector in India. The company specialises in a wide range of infrastructure projects, including highways, bridges, flyovers, power transmission lines and towers, airport runways, and industrial area development, among other activities.
With a strong track record of executing projects across various core infrastructure sectors, PNC Infratech is well-equipped to deliver comprehensive solutions tailored to the needs of its clients.
Order book
As of March 31, 2024, PNC Infratech Ltd. has a strong order book valued at around Rs. 15,400 crore, offering substantial revenue visibility. The majority of this order book comprises road EPC projects, accounting for approximately 76 percent.
The contract value under execution exceeds Rs.20,400 crore, including a Rs.4,994 crore contract where the company is the lowest bidder (L1). This amount is more than 2.7 times the company’s FY24 revenue, enhancing its revenue visibility and growth outlook.
The order book is well diversified between Roads and Water projects. With ongoing projects and recent contract wins, PNC Infratech is well-positioned to leverage the growing infrastructure development demand in India.
Financials
The revenue from operations of PNC Infratech Ltd increased 13 percent to Rs.2,600 crore in Q4 FY24 from Rs.2,305 crore Q4 FY23 and Profit after Tax increased significantly by 171 percent to Rs.396 crore from Rs.146 crore during the same period.
The share price of PNC Infratech Ltd. opened at Rs.471.15 per share on Wednesday, 0.5 percent higher than its previous close.
KEC International is a leading global infrastructure EPC company with a diverse presence in Power Transmission and Distribution, Railways, Civil, Urban Infrastructure, Solar, Oil & Gas Pipelines, and Cables. It serves as the flagship company of the RPG Group.
Order book
As of July, 2024, KEC International Ltd. has an outstanding order book valued at approximately Rs.32,715 crore, with international orders accounting for around 26 percent of this total. The company’s strong order inflow during FY24 exceeded Rs.18,000 crore, with the power transmission and distribution (T&D) sector contributing over half of this amount.
Additionally, KEC International Ltd. is in the L1 position for orders exceeding Rs.7,000 crore. The company has tenders under evaluation and in the pipeline totaling over Rs.1,50,000 crore. This substantial order book underscores KEC International’s strong market position and growth potential in the infrastructure sector.
Financials
The revenue from operations of KEC International Ltd increased 6.3 percent to Rs.4,512 crore in Q1 FY25 from Rs.4,244 crore Q1 FY24 and Profit after Tax increased significantly by 110 percent to Rs.88 crore from Rs.42 crore during the same period. The share price of KEC International Ltd. opened at Rs.835 per share on Wednesday, 0.5 percent higher than its previous close.
G R Infraprojects Ltd is an integrated road Engineering, Procurement, and Construction (EPC) company with expertise in designing and constructing road and highway projects across 15 states in India. The company primarily undertakes civil construction projects in the road sector on both EPC and BOT (Build Operate Transfer) bases.
Order Book
As of July, 2024, G R Infraprojects Ltd has a robust order book valued at approximately Rs.14,974 crore, with domestic orders accounting for the entire value.
The Company has emerged as the lowest bidder for two road projects worth Rs 4,346.1 crore of Maharashtra State Road Development Corporation. Considering these two projects, the order book will become Rs.19,320.8 crore.
Company’s major clients of these orders are NHAI (National Highways Authority of India), NHPC (National Hydroelectric Power Corporation Private Limited), and NHLML (National Highways Logistics Management Limited).
The revenue from operations of G R Infraprojects Ltd decreased to Rs.2,030 crore in Q1 FY25 from Rs.2,478 crore Q1 FY24 and Profit After Tax also decreased to Rs.156 crore from Rs.310 crore during the same period.
The share price of G R Infraprojects Ltd. opened at Rs.1,640 per share on Wednesday, 2.6 percent higher than its previous close.
Written by – Siddesh S Raskar
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