Synopsis:
Ramky Infrastructure’s subsidiary secured a ₹2,085 crore HMWSSB project to supply Godavari water, rejuvenate reservoirs, complete in two years, and maintain operations for 10 years.
This small-cap infra stock, engaged in integrated construction and infrastructure development across water, waste management, transportation, industrial parks, and buildings, jumped 8 percent after signing an agreement with HMWSSB for the Drinking Water Supply project worth Rs. 2,085 crore.
With a market capitalization of Rs. 4,175.74 crores, the share of Ramky Infrastructure Limited has reached an intraday high of Rs. 586.75 per equity share, rising nearly 8.39 percent from its previous day’s close price of Rs. 636. Since then, the stock has retreated and is currently trading at Rs. 603.05 per equity share.
What is the news?
Ramky Infrastructure Limited announced that its subsidiary, Mallannasagar Water Supply Limited, signed a concessionaire agreement with the Hyderabad Metropolitan Water Supply and Sewerage Board (HMWSSB).
The project involves the Godavari Drinking Water Supply Scheme (Phases II & III) to fill Osmansagar and Himayathsagar reservoirs with Godavari water for rejuvenating the Musi River. The project is worth Rs. 2,085 crores and will be built within two years. After completion, Ramky will manage, operate, and maintain it for 10 years under the Hybrid Annuity Model.
Order Book
Ramky Infrastructure Limited holds a strong order book of Rs. 7,650 crores, reflecting robust project visibility. This positions the company for steady growth in the infrastructure and water management sectors.
Company Overview
Ramky Infrastructure Limited is a flagship company of the Ramky Group and was established in 1994. It is an integrated construction and infrastructure development company in India, delivering projects across sectors like water and wastewater, transportation, irrigation, industrial construction (including SEZs and industrial parks), power transmission and distribution, and buildings (residential, commercial, and retail).
The company operates across India and internationally with a team of over 2000 professionals. The company focuses on construction, development through subsidiaries and international business, often employing public-private partnership models.
Business Development
Ramky Infrastructure Limited has built one of the largest leachate treatment plants using advanced LTE technology in Telangana and Asia’s largest sewage treatment plant with UASB technology. The company set up South India’s first waste-to-energy plant and the second-largest water treatment plant in Telangana.
The company is also debt-free and has developed India’s sector-specific pharma industrial park at Jawaharlal Nehru Pharmacity in Andhra Pradesh. With over 450 completed projects, including 185 in the water sector and 50 in industries, Ramky has strong expertise across sectors.
Recent quarter results
Coming into financial highlights, Ramky Infrastructure Limited’s revenue has decreased from Rs. 569 crore in Q1 FY25 to Rs. 379 crore in Q1 FY26, which is a drop of 33.39 percent. The net profit has grown by 8.45 percent from Rs. 71 crore in Q1 FY25 to Rs. 77 crore in Q1 FY26. Ramky Infrastructure Limited’s revenue and net profit have grown at a CAGR of 17.97 percent and 82.33 percent, respectively, over the last four years.
In terms of return ratios, the company’s ROCE and ROE stand at 16.8 percent and 10.9 percent, respectively. Ramky Infrastructure Limited has an earnings per share (EPS) of Rs. 28.54, and its debt-to-equity ratio is 0.30x.
Written By – Nikhil Naik
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