This small-cap stock is part of an engineering, procurement, and construction (EPC) company specializing in power transmission and distribution and operating integrated manufacturing facilities, jumped 7 percent after receiving an order worth Rs. 2752 crore in its Transmission & Distribution (T&D) segment.
Stock Price Movement:
With a market capitalization of Rs. 6,858.47 crores, the share of Transrail Lighting Limited has reached an intraday high of Rs. 519.70 per equity share, rising nearly around 7.33 percent from its previous day’s close price of Rs. 484.20. Since then, the stock has retreated and is currently trading at Rs. 510.85 per equity share.
What Happened:
Transrail Lighting Limited has secured new orders worth Rs. 2,752 crore, reinforcing its strong Transmission & Distribution (T&D) sector presence. This achievement contributes to its year-to-date (YTD) order inflows surpassing Rs. 7,400 crore, reflecting a remarkable 90 percent growth compared to last year. It highlights the company’s expertise as a leading EPC player across multiple segments, including civil, railways, and poles & lighting.
Management Commentary:
Mr. Randeep Narang, MD & CEO, expressed his satisfaction with Transrail Lighting Limited’s latest achievement, stating, “We are pleased to announce our order wins of Rs. 2,752 crore which reaffirms our position as a trusted partner in the T&D industry. With a robust order book, manufacturing capacities, proven execution capabilities and promising tender pipeline we have good growth prospects in the coming quarters.”
Company Guidance:
Transrail Lighting Limited maintains its revenue guidance of 30 percent growth for FY25, targeting around Rs. 5,200 crore, up from Rs. 4,000 crore in FY24. For FY26, the company expects a 25 percent increase based on FY25 figures. EBITDA margins are projected between 12 percent and 12.5 percent, reinforcing its strong financial performance and strong order pipeline.
Order Book:
As of December 2024, Transrail Lighting Limited’s unexecuted total order book stands at Rs. 11,499 crore, with the Power T&D segment accounting for 90.52 percent. The distribution of international and domestic orders is nearly equal at 51 percent and 49 percent, respectively. With L1 projects included, the total unexecuted order book reaches Rs. 15,643 crore, ensuring a robust growth pipeline.
Business Achievements:
The company reached significant milestones across various sectors. In power transmission, it secured the 800kV HVDC KPS2-Nagpur line and successfully commissioned 400kV and 220kV substations. Internationally, it obtained its first 80 MW solar EPC order and a 400kV transmission project in Nepal.
Additionally, the company contributed to India’s bullet train project and completed a 199-meter cooling tower in Telangana.
Business Overview:
Transrail Lighting Limited is a leading Indian company that provides complete solutions for engineering, procurement, and construction projects. The company has successfully completed over 200 power projects and has a strong presence in India and 58 countries worldwide.
Recent quarter results:
Transrail Lighting Limited’s revenue has increased from Rs. 837 crore in Q3 FY24 to Rs. 1,358 crore in Q3 FY25, which has grown by 62.25 percent. The net profit has also grown by 89.80 percent from Rs. 49 crore in Q3 FY24 to Rs. 93 crore in Q3 FY25.
Written By – Nikhil Naik
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