Rs 2,400 crore order book and 20 per cent upper circuit alert: This multibagger pump manufacturer bags new order worth Rs 1603 crore!

Shares of the company gained more than 350 per cent in the last three years.

Shakti Pumps (India) Limited informed in the exchange filing that the company has been awarded a Letter of Empanelment from Maharashtra State Electricity Distribution Company Limited (MSEDCL). This empanelment is for the supply and installation of 50,000 Off-Grid Solar Photovoltaic Water Pumping Systems (SPWPS) pumps under Component B of the PM-KUSUM scheme (Phase-III).

The total value of the project is approximately Rs 1,603 crores (inclusive of GST), and the pumps are to be installed throughout the state of Maharashtra over a period of 24 months.

The company recently also received a letter of an award worth Rs 149.71 crore under the PM- KUSUM 3 scheme from Ajmer Viduyt Vitran Nigam Limited. The order for implementation of grid-connected Solar Water pumping System.

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Shakti Pumps is primarily engaged in the manufacturing of pumps and motors of various kinds. It also offers advanced water pumping solutions to a wide range of applications such as irrigation, horticulture, domestic water supply, and commercial and industrial applications.

In the recent quarter, the company posted weak Quarterly Results. The revenue of the company for Q1FY24 stood at Rs 113.06 crore which decreased by 55.57 per cent on a YoY basis. The operating profit of the company stood at Rs 8.46 crore, while the PAT of the company stood at Rs 1.00 crore, representing a decrease of 88.6 per cent YoY.

In the last three years, the shares of the company have delivered multibagger returns of over 300 per cent returns. The company has an order book of Rs 2400.71 crore.

Investors should keep a close eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.