Shares of this IT stock under Rs 100 rose approximately 6 percent in Tuesday’s trading session after the company secured an order worth more than Rs 32.70 crores for Brand Deployment across various railway stations in India.
With a market capitalization of Rs 979.18 crores, the stocks of 3i Infotech Limited started their trading session on Tuesday at Rs 56.03 and currently trade at Rs 59, gaining around 6 percent compared to the previous closing levels of Rs 55.60 apiece. In the past month, the company’s shares have gained more than 30 percent, from Rs 45 to the current price level.
Such bullish stock price movements were observed after the company, through a regulatory filing with the Bombay Stock Exchange (BSE), intimated that it has received a work order from ‘Concept Communications’, on behalf of BPCL, for a branding opportunity with Free Wi-Fi across 6,105 railway stations in India.
The total contract value is approximately Rs 32.70 crore (plus taxes), spread across 27 months starting from February 1, 2024.
During the recent financial quarters, the company’s basic business indicators such as operating revenues and net profits showed opposing movements with the former, on one hand, increasing from Rs 194 crores during Q1FY23-24 to Rs 210 crores during Q2FY23-24, and the latter, on the other hand, magnifying their losses from Rs 15 crores to Rs 154 crores.
According to the recent presentations of the company, the geographical mix of total revenue portrays the US region earning around Rs 96 crores, the Indian region earning Rs 89 crores, the EMEA region with Rs 19 crores, and the APAC region with Rs 7 crores.
As per the latest shareholding data available for the quarter ended December 2023, the Public (retail) investors hold a majority stake, viz, of 89.09 percent followed by the Domestic Institutional Investors (DIIs) holding a 10.18 percent stake in the company.
3i Infotech Limited is an IT company providing a set of Internet protocol (IP)-based software solutions. The company offers IT products including packaged applications for banking, capital markets, insurance, wealth management, and enterprise resource planning (ERP) suites.
Written by Amit Madnani
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