DSIJ Mindshare

FIIs & DIIs Increased Stake: Smart Metering Solution Provider Secured EPC and O&M Contract Worth Rs 201 Crore – Stock Gains 4,500 Per cent!
Rakesh Deshmukh

FIIs & DIIs Increased Stake: Smart Metering Solution Provider Secured EPC and O&M Contract Worth Rs 201 Crore – Stock Gains 4,500 Per cent!

The company’s shares have delivered an impressive return of over 740 per cent in just 2 years only.

This Small-Cap company has announced that it has been awarded a contract as the lead member of a consortium for a solar power project aimed at solarizing agricultural feeders in Maharashtra. This contract was secured through a competitive bidding process and an e-reverse auction, representing a significant milestone in RMC's expansion within the renewable energy sector.

Incorporated in 1994, RMC Switchgears Ltd specializes in Switchgear Engineering and ECI contracts for the power distribution and transmission sectors.

The consortium has obtained three separate EPC contracts, along with 3 years of O&M contracts, in the Ahmednagar district of Maharashtra, with a total order value of Rs 201 crores (including GST). These new projects not only reinforce RMC Switchgears Limited's commitment to advancing renewable energy but also contribute significantly to India's climate action commitments under the Paris Agreement.

DSIJ's ‘Penny Pick’ service provides research-backed penny stock recommendations below Rs. 100. If this interests you, do download the service details here.

Furthermore, the company is actively pursuing additional tenders for projects exceeding 500 MWp and is engaging with both public and private sector entities to achieve its ambitious target of securing 1 GWp in renewable energy capacity. By collaborating with installation and commissioning experts across various states and leveraging its in-house team of skilled designers and supervisors, RMC is positioning itself at the forefront of the green energy revolution.

This expansion into solar projects is instrumental in reducing carbon emissions, fostering economic growth, and creating green jobs, thereby contributing to India's goal of achieving 450 GW of renewable energy capacity by 2030. With a dedicated Business Development unit continuously exploring new opportunities, RMC's initiatives in the renewable sector align with India's ambitious environmental targets. This initiative underscores RMC's commitment to innovation and sustainability, reinforcing its role in helping India meet its climate goals and positioning the country as a global leader in renewable energy technologies.

On Tuesday, the shares of RMC Switchgears Ltd closed the day at around Rs 751.50 per share. The company’s current market capitalization stands at Rs 774.67 crore. The stock has delivered a multibagger return of around 4,500 per cent in just 3 years.

The company doesn’t announce Quarterly Results, and as per the half-yearly results in March 2024, RMC Switchgears Ltd recorded a revenue of Rs 85 crore compared to Rs 67 crore same period last year. The operating profit for the period stood at Rs 14 crore. The net profit stood at Rs 7 crore. Looking at the annual performance, the company generated a revenue of Rs 173 crore in FY24, compared to Rs 125 crore in FY23. The operating profit for FY24 was Rs 34 crore with a net profit of Rs 15 crore.

Investors must keep this small-cap stock on their radar.

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

Previous Article Rs 5,890 Crore Order Book: Construction Company Secures Orders Worth Rs 269.55 Crore, FY25 Order Inflows Reach Rs 1714.46 Crore – FIIs and DIIs Significantly Increase Stake
Next Article Top things you must know before the market opens!
Print
303 Rate this article:
4.2
Please login or register to post comments.
DALAL STREET INVESTMENT JOURNAL - DEMOCRATIZING WEALTH CREATION

Principal Officer: Mr. Shashikant Singh,
Email: principalofficer@dsij.in
Tel: (+91)-20-66663800

Compliance Officer: Mr. Rajesh Padode
Email: complianceofficer@dsij.in
Tel: (+91)-20-66663800

Grievance Officer: Mr. Rajesh Padode
Email: service@dsij.in
Tel: (+91)-20-66663800

Corresponding SEBI regional/local office address- SEBI Bhavan BKC, Plot No.C4-A, 'G' Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400051, Maharashtra.
Tel: +91-22-26449000 / 40459000 | Fax : +91-22-26449019-22 / 40459019-22 | E-mail : sebi@sebi.gov.in | Toll Free Investor Helpline: 1800 22 7575 | SEBI SCORES | SMARTODR