Following the reports of employee arrests and searches at different residences and offices by the CBI, the share price of the company engaged in the business of providing infrastructural facilities in India declined by 9.8 percent to Rs. 470.05.
At 01:31 p.m., the shares of PNC Infratech Limited were trading in the red at Rs. 480, down by 8 percent, as against its previous closing price of Rs. 521.6, and has a market capitalisation of Rs. 12,313.8 crore.
A CBI team conducted a search at the residence of the Managing Director (MD) and Whole-time Director as well as at the corporate office in Agra, the registered office in New Delhi and other offices of PNC Infra on 8th June 2024, late at night.
Recent regulatory filings indicate that the Central Bureau of Investigation (CBI) search was carried out in connection with a bribery case for Rs. 10 lakh.
The search was completed at all locations and the CBI arrested four PNC Infratech employees along with an NHAI consultant and his resident engineer.
Further, the filings also reveal that the MD and whole-time Director were not arrested; instead, the MD received a summon to appear before the CBI Office in New Delhi.
According to a few media sources, the CBI caught two officials from the National Highways Authority of India (NHAI) who had accepted a bribe of Rs. 10 lakh from PNC employees in Madhya Pradesh in order to secure final approval, a no objection certificate (NOC), and to process the final bill for the Jhansi-Khajuraho project of NHAI.
In terms of financials, the company’s consolidated revenue from operations grew by 12.8 nearly percent YoY from Rs. 2,304.85 crore in Q4 FY22-23 to Rs. 2,600.15 crore in Q4 FY23-24, accompanied by an increase in net profit of 171.2 percent YoY, from Rs. 146 crore to Rs. 396 crore, during the same period.
On a year-on-year basis, the Earnings Before Interest, Taxes, Depreciation, and Amortisation, or EBITDA increased from Rs. 411 crore in Q4 FY22-23 to Rs. 736 crore in Q4 FY23-24, representing a growth of 79 percent.
The stock has delivered nearly 51.4 percent of positive returns in the last one year, and around 37.2 percent returns year-to-date.
Incorporated in 1999, PNC Infratech Limited is engaged in the business of infrastructure development in India through the construction of highways including BOT (built, operate and transfer projects), HAM (Hybrid Annuity Model), Airport Runways, Bridges, Flyovers and Power Transmission projects, Water supply project among others.
Written by Shivani Singh
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