Shares of this Real Estate stock gained up to 17 percent and hit their 52-week high today after bagging multiple orders. The scrip has gained over 50 percent in a period of last six months.
The stocks of RPP Infra Projects Limited are currently trading at Rs 64.45. Witnessing an intra-day high price of Rs 66.50, which is also the 52-week high mark, it indicates an upside of around 17 percent compared to the previous closing levels of Rs 56.75.
One of the contributing factors leading the stock prices to witness a movement today is pertaining to a regulatory filing with the Bombay Stock Exchange (BSE) dated 5th July 2023 informing that the company received orders from the National Highway Authority of India, Municipal Corporations, and Town Panchayats. The orders have an aggregate value of approximately Rs 289.30 crores.
The consolidated financials of the company portray a jump in operating revenues as well as net profits. The operating revenues took a shift from Rs 801 crores during FY21-22 to Rs 1,040 crores in FY22-23, and, net profits, during the same period, moved from Rs 5 crores to Rs 28 crores exhibiting an increase of more than 450 percent.
Coming onto the profitability metrics of the company, there has been tremendous growth in the return on equity (RoE) from 1.59 percent during FY21-22 to 8.38 percent in FY22-23. Moreover, the return on capital employed (RoCE) moved from 6.81 percent to 13.42 percent keeping the timeframe the same.
The debt-to-equity ratio saw a reduction from 0.28 times during FY21-22 to 0.23 times in FY22-23. In addition to the above, the company’s interest coverage ratio, during the same time horizon, improved from 2.37 times to 4.81 times.
RPP Infra Projects Limited is involved in the business of engineering as well as construction activities across various verticals such as buildings, roads, irrigation, etc. The company derives a majority of its revenue from the ‘Infrastucture’ operations within India.
Written by Amit Madnani
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