Construction Company Secures Rs 654 Crore Order & Emerges as L1 Bidder for Rs 168 Crore Project; FIIs and DIIs Increase Stake in Q1 FY25!
With these new orders, the company’s total order inflow for the financial year 2024-25 has reached Rs 890 crore.
This Small-Cap construction company offers a broad range of construction and related services across various sectors including industrial, institutional, government, and residential projects in India.
The company has recently secured work orders worth Rs 653.67 crore (excluding taxes). These include:
- Civil and Structural Work for Project "Himalaya" at Sanand, Gujarat, for International Refreshments (India) Private Limited, valued at Rs 484.02 crore (excluding GST). This industrial project is scheduled for completion within 14 months. None of the promoters or related entities have any interest in this contract, which does not qualify as a related party transaction.
- Construction of Project "Ninety" at Mumatpura, Ahmedabad, Gujarat, from PSP Properties LLP, worth Rs 102 crore (excluding GST). This institutional project is set to be completed within 10 months.
- Investors must note that Mr. Prahaladbhai S. Patel, the company’s Chairman, Managing Director, and CEO is a designated partner in PSP Properties LLP and thus has an interest in this work order, which is considered a related party transaction conducted at arm's length.
- With these new orders, PSP Projects' total order inflow for the financial year 2024-25 has reached Rs 889.98 crore.
- Additionally, the company has emerged as the Lowest Bidder (L1) for a construction project involving a hotel and secondary high school, valued at Rs 168.13 crore (excluding GST).
On Wednesday, the shares of PSP Projects closed at around Rs 678 per share on the BSE. The company’s current market capitalization stands at Rs 2687.71 crore.
DSIJ's ‘Penny Pick’ service provides research-backed penny stock recommendations below Rs. 100. If this interests you, do download the service details here.
As per the Quarterly Results, in the Q1 FY25, PSP Projects recorded a revenue of Rs 612 crore compared to Rs 510 crore. The operating profit stood at Rs 73 crore. The net profit stood at Rs 34 crore compared to a profit of Rs 37 crore. Looking at the annual performance, the company generated a revenue of Rs 2462 crore in FY24. The operating profit for FY24 was Rs 228 crore with a net profit of Rs 133 crore compared to a net profit of Rs 162 crore in FY23.
Check out my recent article here.
Investors must keep this stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.
If you like my work, please rate it and leave your comments. We welcome your feedback and suggestions, so feel free to share your thoughts below.