The shares of this small cap EPC stock providing services in the telecom and solar energy sector came into focus after bagging an order worth Rs 228.18 crores from the South Central Railways under the Kavach Project.
Price Action
With a market capitalization of Rs 4,882.07 crore, Bondada Engineering Ltd jumped 2.6 percent on Tuesday’s trading session and made an intraday high of Rs 465 per share compared to its previous closing price of Rs 453.25 per share.
The stock retraced from its day’s high and was trading at Rs 452 which is 0.2 percent lower than the previous closing price.
What Happened
South Central Railways has issued a Letter of Award to Bondada Engineering Limited making it their first order in the railways sector. This includes ground installation work for the provision of Kavach and a high-density 4G LTE-R network, as well as the pile foundation for towers in South Central Railways.
This domestic contract is worth Rs 228.18 crore and is expected to be completed within 720 days from the start date.
About the Company
Bondada Engineering Ltd is engaged in providing EPC (Engineering, Procurement & Construction) and O&M (Operations & Maintenance) services in the telecom and solar energy sectors. As of FY 25, Bondada has commissioned projects worth 600 MW and currently holds projects worth around 2 GW in hand.
The company’s major clients include BSNL, Reliance Jio, Airtel, Indus Towers and BHEL among many others. It has an order book worth Rs 5,342 crore as of October 2024, out of which EPC contracts account for Rs 4,302 crore, O&M for Rs 946 crore and the subsidiaries have orders for Rs 93 crore.
Financials
The company’s revenue stands at Rs 480.6 crore in H1 FY25, up by 63 percent year on year. This was accompanied by a 142 percent year on year increase in profits to Rs 36.01 crore during the same period.
Written by Shwetha Sairam
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