On Wednesday’s trade, The shares of this infrastructure company hit a 5% upper circuit to its 52-week high of ₹13.30 per share after the company received a work order worth ₹10.92 crores for the rehabilitating slums in Ahmedabad.
Nila Infrastructures Ltd is a micro-cap stock with a market capitalization of ₹ 525 crores.
Nila Infrastructures Ltd received a Letter of Intent from Ahmedabad Municipal Corporation for the construction and development of residential units by rehabilitating slums popularly known as ‘Gajrajgiri Ni Chali and Fulghar Ni Chali’ at Ahmedabad. Under the Slum Rehabilitation Policy of the Government.
The project involves the construction and development of 125 residential units for a total development cost of ₹ 10.92 Crore, The Company shall get a Transferable Development Right (TDR) of ₹8.16 Crore and a Land Premium of ₹ 2.76 Crore as a consideration to recoup the development cost. The company mentioned this in its exchange filing.
According to a year-on-year comparison of financials, the Company’s revenue declined by 30 percent from ₹29.97 crores in Q2FY23 to ₹39.16 crores in Q2FY24. Within the same period, the net profit climbed by 4000 percent, from ₹0.06 crore to ₹2.48 crore.
Recently, the Company received a Letter of Intent from Ahmedabad Municipal Corporation for the construction and development of residential units and commercial shops by rehabilitating slums popularly known as ‘Gulbai Tekra’ at Ahmedabad. For a cost of ₹99.08 crores.
Nila Infrastructures Limited was incorporated in 1990, The Company is involved in the construction of residential Projects, and the development of various infrastructures. The company has its presence mostly in Gujarat and Rajasthan.
Nila Infrastructures Ltd shares have gained a multibagger return of 155% in the last six months and 118% in a year. For example, A shareholder investment of ₹ 1 lakh in the company six months ago, would be worth ₹ 2.55 lakhs.
Written by Omkar Chitnis
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