Synopsis:
Abha Power and Steel Limited got a ₹1.74 crore railway order, growing its total order book to ₹26.70 crore as of August 1, 2025.

This penny stock, engaged in manufacturing and supplying iron and steel castings, serving sectors like railways, mining, cement, power, and heavy engineering, jumped 9 percent after securing a new order worth Rs. 1.74 crore from South East Central Railway.

With a market capitalization of Rs. 83.65 crores, the share of Abha Power and Steel Limited has reached an intraday high of Rs. 46 per equity share, rising nearly 9 percent from its previous day’s close price of Rs. 42.20. Since then, the stock has retreated and is currently trading at Rs. 45 per equity share. 

Abha Power and Steel Limited has received a new order worth Rs. 1.74 crore from South East Central Railway, strengthening its presence in the railway sector. As of August 1, 2025, the company’s total order book has grown to around Rs. 26.70 crore. This steady flow of orders shows the company’s strong position in the market and its focus on delivering quality and reliable solutions. Abha Power and Steel continues to work towards expanding its reach and meeting the growing needs of railway infrastructure projects.

Abha Power and Steel Limited was founded in 2004 and is an Indian company specializing in casting and manufacturing a wide range of iron and steel products. The company operates two foundries, SG Iron Foundry and Steel Foundry, along with a manufacturing facility located in Bilaspur, Chhattisgarh.

The company’s product portfolio includes mild steel, spheroidal graphite iron (SGI), manganese steel, stainless steel, and both low-alloy and high-alloy castings. As of 2025, Abha Power and Steel Limited employs approximately 85 workers and exports products to European countries.

The company serves diverse industries such as Indian Railways, steel, cement, mining, power, and heavy engineering. Its products for Indian Railways include specialized items such as SGCI inserts, adapters, valve castings, centering discs, and brake supports. Its installed capacity is around 14,400 metric tonnes per annum (MTPA).

Coming into financial highlights, Abha Power and Steel Limited’s revenue has increased from Rs. 30.64 crore in H2 FY24 to Rs. 35.78 crore in H2 FY25, which has grown by 16.78 percent. The net profit has also grown by 34.89 percent from Rs. 2.35 crore in H2 FY24 to Rs. 3.17 crore in H2 FY25.

Abha Power and Steel Limited’s revenue and net profit have grown at a CAGR of 13.27 percent and 110.95 percent, respectively, over the last two years. In terms of return ratios, the company’s ROCE and ROE stand at 18.3 percent and 18.2 percent, respectively. Abha Power and Steel Limited has an earnings per share (EPS) of Rs. 3.35, and its debt-to-equity ratio is 0.42x.

Written By – Nikhil Naik

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