1:1 bonus share & Rs 58,067 crore order book: Civil construction company bags new order worth Rs 186 crore from Jaiprakash Power Ventures Ltd
The stock gave multibagger returns of 455 per cent in just 3 years and a whopping 750 per cent in 5 years.
Power Mech Projects Limited has secured a Rs 186 Crore (excluding GST) order from Jaiprakash Power Ventures Limited (JPVL) for the provision of Field Operation and Maintenance services for the 2 x 660MW Jaypee Nigrie Super Thermal Power Plant in Nigrie, Madhya Pradesh. This five-year contract, effective from January 1, 2025, to December 31, 2029, involves a monthly contract value of ₹3.10 crores for the first year, with subsequent monthly price escalations based on the Wholesale Price Index (WPI) for the remaining four years. The total order is worth Rs 186 crore.
Established in 1999, Power Mech Projects Limited is an engineering and construction company offering comprehensive services for power plants, including building, testing, and maintaining boilers, turbines and generators, civil works, and ongoing operations. Their diverse portfolio encompasses various project scales, from ultra-mega to subcritical power plants, and their expertise extends across eight business units, including industrial services, construction, overseas operations, electrical systems, infrastructure construction, hydropower, manufacturing, and mining. The company has a market cap of over Rs 8,000 crore and as of September 30, 2024, the company’s order book stands at Rs 58,067 crore.
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Power Mech Projects Ltd announced positive results in its Quarterly Results (Q2FY25) and half-yearly results (H1FY25). According to the Quarterly Results, the net sales increased by 11 per cent to Rs 1,035.49 crore and net profit increased by 31 per cent to Rs 70.16 crore in Q2FY25 compared to Q2FY24. In H1FY25, net sales increased by 14 per cent to Rs 2,024.88 crore and net profit increased by 27 per cent to Rs 132.49 crore compared to H1FY24.
Earlier, the shares of the company ex-traded bonus equity shares in the ratio of 1:1 i.e., 1 new fully paid-up equity share of Rs 10 each will be issued for every 1 fully paid-up equity share of Rs 10 each and the ex-date for bonus shares was Tuesday, October 08, 2024.
The stock gave multibagger returns of 455 per cent in just 3 years and a whopping 750 per cent in 5 years. Investors should keep an eye on this Small-Cap civil construction company’s stock.
Disclaimer: The article is for informational purposes only and not investment advice.