A micro-cap infrastructure company witnessed a 7% surge in its stock price after entering into a subcontract agreement with a leading construction firm Kevadiya Construction Limited (KCL).
With market capitalisation of Rs. 314 Crores, the shares of B.R.Goyal Infrastructure Limited were trading at Rs 132 per share, increasing around 7 percent as compared to the previous closing price of Rs 123.05 apiece.
B.R.Goyal Infrastructure Limited has entered into two subcontract agreements with Kevadiya Construction Limited, collectively valued at Rs 63.98 crore (including GST), marking a strategic foray into underground sewerage infrastructure development in Tamil Nadu.
The first order, worth Rs 39.42 crore, pertains to the construction of an underground sewerage system in Theni–Allinagaram Municipality under the Tamil Nadu Urban Development Project (TNCRUDP) – 2023–2024.
The second order, valued at Rs 24.56 crore, involves similar sewerage infrastructure development in the left-out areas of Mayiladuthurai Municipality, awarded under the Project Development Grant Fund (PDGF) of KfW 2023–24. Both are scheduled for completion within 24 months.
B.R.Goyal Infrastructure Limited is a diversified infrastructure player engaged in the construction and development of roads, highways, bridges, and buildings across multiple Indian states.
It primarily undertakes EPC projects for government clients, with a strong presence in road and highway construction, commercial complexes, industrial parks, housing projects, and HAM (Hybrid Annuity Mode) initiatives.
Additionally, the company operates across multiple verticals including Ready-Mix Concrete (RMC) manufacturing, wind power generation, Toll Collection Contracts (TCC), and residential plotting projects, reflecting a well-rounded infrastructure portfolio. As of March 2025, it has a strong orderbook of Rs. 1,313 Crores, which is nearly 4x its market cap.
It has recently launched 2 residential plotting projects named BRG Hill View-II and BRG Hill View-II Extension at Village Sanawadiya, Indore. It has successfully executed projects valued more than 1200+ crores. The Company’s core strength comes from its 600+ employees with diverse experience and expertise, enabling it to emerge as a solutions provider.
The company reported a revenue of Rs 510 crore in FY25, down by 13.3 percent from its FY24 revenue of Rs 589 crore. Coming to its profitability, the company reported a net profit increase of 13.6 percent to Rs 25 crore in FY25 from Rs 22 crore in FY24.
The stock delivered an ROE and ROCE of 14.2 percent and 16.6 percent respectively and is currently trading at a P/E of 12.55x as compared to its industry average of 23.3x.
Written by: Rohan Pandey
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