Shares of this penny stock associated with the ‘civil construction’ industry hit the 5 percent upper circuit after the company received a work order aggregating to an amount of Rs 306.4 crores. In the last six months, the company’s stock has gained more than 40 percent.
With a market capitalization of Rs 148.98 crores, the stocks of Niraj Cement Structurals Limited closed at Rs 37.10 on Wednesday.
During the initial trading hours, the stock was trading at the average level of Rs 35, but, during the course of time, the stock gained up movement and hit the 5 percent upper circuit recorded at the closing price mentioned above.
Such sharp movements during the last couple of trading hours were witnessed after the company, through a regulatory filing with the exchange, intimated about two different orders received by the company aggregating to Rs 306.4 crores.
Firstly, the company received a work order worth Rs 13.96 crores from the Central Railway pertaining to the construction of underground water tanks, road, buildings overhead, etc and P. way work in connection with coaching facilities at Lokmanya Tilak Terminus (LTT).
Moreover, the company received a work order from the National Highway & Infrastructure Development Corporation Limited (NHIDCL) worth Rs 292.44 crores pertaining to the construction of a two-lane road in the state of Manipur on EPC mode.
Coming onto the annual consolidated financials, the company has been successful in consistently increasing its operating revenues as well as after-tax profits with the latest movement in the former from Rs 356 crores during FY21-22 to Rs 606 crores during FY22-23, and, the latter, during the same time horizon, doubling from Rs 2 cores to Rs 4 crores.
The company, as per the quarter ended June 2023, showcased that the Promoters hold a 24.26 percent stake and the Retail Investors hold the remaining 75.74 percent stake in the company.
Solely operating in India, Niraj Cement Structurals Limited is a company based in India that is engaged in the infrastructure business of constructing bridges, highways, irrigation facilities, drainage, and other associated activities.
Written by Amit Madnani
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