Shares of this microcap company clocked 5 percent upper circuit in Wednesday’s trading session after receiving multiple orders worth Rs. 69.96 crores. The shares have delivered a multibagger return of 188 percent to its shareholders in one year.
With a market capitalization of Rs. 240 crores, the shares of Brahmaputra Infrastructure Ltd started Wednesday’s trading session on a flatter note at Rs. 78.99 compared to its previous close of Rs. 78.99. During the trading session, the shares clocked a 5 percent upper circuit at Rs. 82.83.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that they had received an LoA from the office of the Chief Engineer, Water Resource Department, Guwahati for the execution of River Protection work of a total amount of Rs. 69.96 crores.
The company has secured multiple orders from the Water Resource Department, including procurement of works for the Palashbari and Gumi/Guwahati West Subproject, totaling Rs. 45.72 crores, and Riverbank Protection Works for the Palashbari-Gumi subproject in Kamrup (Rural) district, valued at Rs. 24.24 crores. These projects are slated to be completed within a timeframe of 36 months.
Coming onto the company’s financial statements, the revenue decreased by 13 percent from Rs. 60.61 crores during the September quarter to Rs. 52.89 crores in the December quarter. On a contrasting note, the net profits zoomed by 37 percent from Rs. 3.86 crores to Rs. 5.27 crores during the same period.
As of February 2024, The order book of Brahmaputra Infrastructure Ltd was approximately Rs. 1,125 crores. Furthermore, the company has a strong foothold in diverse infrastructure sectors, including bridges, flyovers, highways, airports, buildings, tunnels, and mining projects, with a focus on EPC and real estate development business.
Moreover, the infrastructure company is focusing on expanding its presence and executing diverse infrastructure projects and aims to continue its growth trajectory by undertaking new projects and ventures in the infrastructure sector.
Due to increasing operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 3.67 percent during FY 21-22 to 6.99 percent in FY 22-23, and, the return on capital employed (RoCE) zoomed from 11.30 percent to 12.91 percent during the same timeframe . In addition, the net profit margin increased from 3.32 percent during FY21-22 to 6.08 percent during FY22-23.
Headquartered in New Delhi, Brahmaputra Infrastructure was incorporated in 1998. The company is into EPC and Real Estate Development Business and handles various projects like the Construction of Bridges, Flyovers, Highways, Airport, Building Construction, Tunnel projects, and Mining projects.
Written By Vaibhav patil
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
