HPL Electric hits upper circuit again on bagging large orders for consumer electrical products

The shares of HPL Electric & Power (HPL) hit the upper circuit on the second consecutive day after the company announced that it has bagged another set of orders worth over Rs 372 crore for its switchgear, wires, and other related accessories for housing projects in the state of Andhra Pradesh.  

The order win represents a big step by the company to increase its presence in the low-cost affordable housing segment. The two new orders form a significant portion of the order book of the company, which now stands at Rs 700 crore.   

The Government of India (GoI) along with various state governments is working towards creating low-cost housing solutions to enhance the various standards of living for the citizens, especially the economically weaker segment. This push towards the creation of housing infrastructure will give a big boost to all sectors including the electrical equipment industry in the long term. With the rising demand for electrical equipment, there remains a huge market to be tapped. HPL has been a major supplier of electrical equipment to the government infrastructure and private housing sector.  

On Friday, the stock of HPL was locked at its upper circuit of 5 per cent after which, the trading was suspended at Rs 54 per share, up by 4.96 per cent or Rs 42.65 per share. The stock’s 52-week high is Rs 64.50 while its 52-week low is Rs 23.45 on BSE.