Synopsis:
Ashoka Buildcon Limited secures ₹499.95 crore LoA from North Western Railway for Jaipur electrification project, involving traction system upgrade and OHE modifications over 24 months.
This small-cap infra stock, engaged in construction and infrastructure development. It is engaged in highway, road, power transmission, railway, urban infra, and renewable energy projects, offering integrated EPC, BOT, and HAM services across India, jumped 2 percent after securing an order worth Rs. 500 crore from North Western Railway.
With a market capitalization of Rs. 5,131.62 crores, the share of Ashoka Buildcon Limited has reached an intraday high of Rs. 186.85 per equity share, rising nearly 1.94 percent from its previous day’s close price of Rs. 183.30. Since then, the stock has retreated and is currently trading at Rs. 182.80 per equity share.
What is the News?
Ashoka Buildcon Limited has received a Letter of Acceptance (LoA) from North Western Railway, Jaipur, for a major electrification project. The project, valued at Rs. 499.95 crore including GST, involves upgrading the existing electric traction system from 1×25 kV to 2×25 kV. It also includes modifications of the overhead equipment (OHE) to support train operations at 160 kmph speed.
The contract covers design, supply, erection, testing, and commissioning of works across several railway sections in Jaipur Division, spanning 581.43 RKM (1210.82 TKM). The project is scheduled for completion within 24 months. This order further strengthens Ashoka Buildcon’s presence in railway infrastructure development, showcasing its ability to deliver large-scale, complex engineering projects.
Order Book
Ashoka Buildcon Limited’s order book for Q1 FY26 shows a significant increase, rising from Rs. 14,905 crore in March 2025 to Rs. 15,886 crore in June 2025, reflecting a positive growth trend over the quarter.
The company’s segment-wise order book breakup indicates that Road EPC constitutes the largest share at 49.2 percent, followed by Power T&D at 31.4 percent. Road HAM accounts for 11.6 percent, Railways for 4.9 percent, and Building EPC for 2.9 percent of the total order book.
Company Overview
Ashoka Buildcon Limited was founded in 1976 and is headquartered in Nashik, Maharashtra, and is a leading infrastructure developer in India. The company has built over 14,000 lane km of highways and executed power transmission and distribution projects benefiting 30,000 villages.
Ashoka Buildcon Limited collaborates with leading infrastructure and transport authorities such as NHAI, KSHIP, TNRDC, MoRTH, PWD, and state agencies like MPRDC to drive road and highway development projects across India.
Recent quarter results
Coming into financial highlights, Ashoka Buildcon Limited’s revenue has decreased from Rs. 2,465 crore in Q1 FY25 to Rs. 1,887 crore in Q1 FY26, which is a drop of 23.45 percent. The net profit has also grown by 43.67 percent from Rs. 158 crore in Q1 FY25 to Rs. 227 crore in Q1 FY26. Ashoka Buildcon Limited’s revenue and net profit have grown at a CAGR of 14.64 percent and 61.06 percent, respectively, over the last five years.
In terms of return ratios, the company’s ROCE and ROE stand at 39.9 percent and 55.2 percent, respectively. Ashoka Buildcon Limited has an earnings per share (EPS) of Rs. 60.35, and its debt-to-equity ratio is 0.51x.
Written By – Nikhil Naik
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