Synopsis:
DMR Hydroengineering hit a 5 percent upper circuit after winning an Rs. 8.82 crore consultancy contract for a 1950 MW pumped storage project in Maharashtra. The stock surged on strong investor interest.
One of India’s emerging infrastructure consultancy firms was in the spotlight today after securing a significant new order. The stock hit the 5 percent upper circuit following the announcement of an engineering consultancy contract for a large pumped storage project in Maharashtra, sparking strong investor interest.
The company in focus is DMR Hydroengineering & Infrastructures Limited, with a market capitalization of Rs. 67.4 crore. The stock opened at Rs. 165, compared to its previous close of Rs. 165.10, and touched an intraday high of Rs. 173.35. This reflects an increase of approximately 5 percent, with the stock hitting its upper circuit limit.
What’s the News?
DMR Hydroengineering & Infrastructures Limited, as the lead partner in collaboration with Fichtner GmBH, Germany, has received a work order from THDC India Limited. The contract involves providing Engineering Consultancy Services for the preparation of a Detailed Project Report (DPR) for the Aruna PSP 1950 MW in Maharashtra. The total contract value stands at Rs. 8.82 crore, inclusive of GST.
The nature of the order is purely consultancy, with a project execution timeline of 13.5 months. This marks a significant addition to DMR’s domestic project portfolio and enhances its credibility in handling large-scale energy infrastructure projects in India.
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About the Company & Financial Snapshot
DMR Hydroengineering & Infrastructures Ltd provides engineering consultancy services across sectors like hydro projects, irrigation, dams, pump storage, solar energy, tunnels, and other infrastructure projects. The company supports EPC agencies, PSUs, IPPs, and consultants with innovative solutions in consulting, design, engineering, and operations for sustainable development.
DMR Hydroengineering has maintained robust financial ratios with a Return on Capital Employed (ROCE) of 25.2 percent, Return on Equity (ROE) of 18.6 percent, and Return on Assets (ROA) of 15.8 percent. The company has a low debt-to-equity ratio of 0.03 and an operating profit margin of 22.3 percent. It currently trades at a PE ratio of 36.6 compared to the industry PE of 34.
For the financial year between March 2024 and March 2025, sales rose by 63.9 percent from Rs. 7.02 crore to Rs. 11.51 crore. Operating profit grew by 27 percent from Rs. 2.02 crore to Rs. 2.57 crore. Profit before tax increased by 25.1 percent from Rs. 2.07 crore to Rs. 2.59 crore, while net profit improved by 29 percent from Rs. 1.53 crore to Rs. 1.97 crore. The company has delivered a compounded sales growth of 64 percent on a trailing twelve-month basis.
Written by – Manan Gangwar
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