Rs 10,000 crore order book: This multibagger civil construction company bags new order worth Rs 534 crore from Jodhpur Vidyut Vitran Nigam Ltd

The stock has a PE of 11.6x, an ROE of 29.4 per cent and an ROCE of 25.4 per cent.

H.G. Infra Engineering Limited (HGIEL) informed that the company bagged an order worth Rs 534 crore from Jodhpur Vidyut Vitran Nigam Ltd. This is an order for a 125.72 MW (AC) grid-connected solar power plant project under KUSUM Scheme - Component C (Feeder Level Solarisation) in JDVVNL. The project includes design, survey, supply, installation, testing, commissioning, operation, and maintenance for 25 years (with a possible extension) of the plant(s), connecting lines, and a Remote Monitoring System. A separate entity formed by Stockwell Solar Services Private Limited and H.G. Infra Engineering Limited (or their subsidiaries) will handle the Engineering, Procurement, and Construction (EPC) of the plant(s) as a domestic project with a 12-month execution timeframe.

H.G. Infra Engineering Limited (HGIEL) is an Indian road infrastructure company engaged in the business of engineering, procurement and construction (EPC) services, maintenance of roads, bridges, flyovers and other infrastructure contract works. The company has a market cap of over Rs 5,000 crore and reported amazing numbers in its Quarterly Results & annual results.

Order Book: The company’s order book stands at Rs 9,626.3 crore as of December 31, 2023. The orders are bagged from various clients across India, including NHAI, Adani, DMRC, RVNL and NCR. With the above orders, the company’s order book crosses over Rs 10,000 crore.

The net sales increased by 62.6 per cent to Rs 1,365 crore and the net profit increased by 6.3 per cent to Rs 493.19 crore in Q3FY24 compared to Q3FY23. In its annual results, the net sales increased by 23.21 per cent to Rs 4,622.01 crore and the net profit increased by 29.77 per cent to Rs 493.19 crore in FY23 compared to FY22.

As of December 2023, Abakkus Emerging Opportunities Fund – 1 (owned by a renowned ace investor, Sunil Singhania) owns a 1.47 per cent stake in the company. As of December 2023, FIIs have decreased their stake to 1.56 per cent and DIIs have decreased their stake to 12.45 per cent compared to September 2023.

The stock has a PE of 11.6x, an ROE of 29.4 per cent and an ROCE of 25.4 per cent. The stock gave multibagger returns of 246 per cent in 3 years whereas BSE Sensex Index is up by 50 per cent. Investors should keep an eye on this Small-Cap stock.

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