Rs 823 crore order book: Multibagger civil construction stock in green as it acquires another ultra-luxurious residential project in Mumbai's premium location at BKC

The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 101.50 per share and a whopping 410 per cent in 3 years.

Today, the shares of Man Infraconstruction Limited (MICL) gained 4.50 per cent to an intraday high of Rs 203.55 per share from its previous closing of Rs 194.85. The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 101.50 per share and a whopping 410 per cent in 3 years.

MICL Group, amongst the leading real estate developers in Mumbai, announced the acquisition of a prime redevelopment project at Bandra Kurla Complex (BKC). The project marks MICL's strategic move into premium redevelopment projects in sought-after locations.

This prestigious project of MICL Group is a redevelopment of Artek Co-operative Housing Society Limited (Society), in the Kalanagar area situated at BKC. BKC, known for hosting several multinational corporations, financial institutions, and government offices, is attracting many professionals, entrepreneurs, and investors looking for a premium location to live near their workplaces. BKC has transformed into a vibrant residential area, offering a unique and luxurious lifestyle. As demand for high-end homes in Mumbai continues to grow, BKC stands out for its perfect blend of residential living and business prowess. This project's strategic location is set to make it a landmark in Mumbai's foremost commercial district.

The project has a total construction area of approximately 5.0 lakh square feet and offers an RERA carpet area of around 1.5 lakh square feet for sale. With a proven track record of delivering all its 16 projects on time, MICL group intends to deliver this project in 3 years from the launch date. Man Infraconstruction Limited holds a 34 per cent stake in the project. The project will be undertaken in one of its associate entities, 'Arhan Homes LLP'. The construction of the property will be executed by Man Infraconstruction Limited.

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About Man Infraconstruction Limited (MICL)

Man Infraconstruction Limited (MICL) is a full-service civil construction company with a diversified business model encompassing both EPC (engineering, procurement, and construction) services and real estate development. They handle all aspects of a project, from design to construction, across various sectors including ports, residences, commercial buildings, and roads. MICL leverages joint ventures and development management projects to minimize investment and maximize profit margins typically ranging from 10 to 20 percent. With a strong revenue projection of over Rs 15,400 crore in the next few years, MICL anticipates significant growth driven by the launch of new residential projects exceeding Rs 4,250 crore in sales potential. They plan to further enhance profitability through strategic acquisitions in the EPC space, capitalizing on their current Rs 823 crore order book. Looking ahead, MICL aims to secure better margins through new infrastructure projects and self-executed EPC real estate ventures. Additionally, their successful US debut with a "Ritz-Carlton" Residences project has positioned them for further expansion in the US market, particularly in Miami and other Florida cities.

According to standalone Quarterly Results, the company reported net sales of Rs 121.40 crore in Q4FY24 and net profit increased by 123.1 per cent to Rs 66.53 crore in Q4FY24 over Q4FY23. In its standalone annual results, the company reported net sales of Rs 708.33 crore in FY24 and net profit increased by 17.8 per cent to Rs 195.46 crore in FY24 over FY23.

According to consolidated quarterly results, the company reported net sales of Rs 296.74 crore and a net profit of Rs 57.98 crore in Q4FY24 compared to net sales of Rs 680.27 crore and a net profit of Rs 88.83 crore in Q4FY23. In its consolidated annual results, the company reported net sales of Rs 1,263.45 crore and a net profit of Rs 284.19 crore in FY24 compared to net sales of Rs 1,890.35 crore and a net profit of Rs 284.12 crore in FY23. As of March 31, 2023, the company’s order book stands at Rs 823 crore. The company turns net cash positive on Consolidated financials as of March 2024.

The company has a market cap of Rs 7,445 crore and has delivered good profit growth of 49.2 per cent CAGR over the last 5 years. The company's shares have an ROE of 30 per cent and an ROCE of 34 per cent. The promoters of the company increased their stake to 67.31 per cent, FIIs increased their stake to 3.55 per cent and DIIs increased their stake to 2.10 per cent in March 2024 compared to 67.12 per cent, 0.44 per cent and 1.62 per cent, respectively, in March 2023. Investors should keep an eye on this Small-Cap stock.

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