Rs 55,300 crore order book and FIIs & DIIs increase stake: This multibagger civil construction company bags new order worth Rs 260 crore from Ministry of External Affairs

The stock gave multibagger returns of 240 per cent in just 1 year whereas BSE Sensex is up by 25 per cent.

NBCC (India) Ltd informed that the company has been selected by the Ministry of External Affairs (GEM Division) to provide project management consultant services for the construction of Chancery-Cum-Residential Complex at CGI, Jeddah, an MEA Project having a value of USD 30 million i.e. Rs 249 crore (approx.). The MEA has awarded the subject work to NBCC at a PMC fee of 4.41 per cent (exclusive of taxes) i.e. Rs 11 crore approx.

Last month, NBCC's subsidiary HSCC (India) Ltd. secured a significant contract worth Rs 459.7 crore to construct a comprehensive healthcare facility in Kolhapur for the Maharashtra government, encompassing a 600-bed general hospital, a 250-bed cancer hospital, and a 250-bed super speciality hospital, while also signing a separate MoU with IFCI Limited for Rs 150 crore to plan and execute infrastructure projects, including repair and renovation work for IFCI's properties across India.

In the same timeframe, NBCC, a government-owned construction company, announced the successful e-auction of a commercial property in New Delhi. The property, encompassing 61,000 square feet, sold for Rs 273 crore. The buyer was Grid Controller of India, a public sector undertaking under the Ministry of Power. This commercial space was part of NBCC's redevelopment project for AIIMS Delhi and had a starting price of Rs 36,000 per square foot.

NBCC (India) Limited is a Government of India Navratna Enterprise under the Ministry of Housing and Urban Affairs. The company operates in three major segments - Project Management Consultancy, Engineering Procurement & Construction and Real Estate. The company has a market cap of over Rs 20,000 crore.

Order Book: The company's standalone order book stands at Rs 44,700 crore while its consolidated order book stands at Rs 55,300 crore. The consolidated new order secured in the current FY23-24 is Rs 7,094 crore.

Results: According to the Quarterly Results, the net sales increased by 13 per cent to Rs 2,413 crore and the net profit increased by 61 per cent to Rs 114 crore in Q3FY24 over Q3FY23. According to nine-month results, the net sales increased by 9 per cent to Rs 6,384 crore and the net profit increased by 104 per cent to Rs 139 crore in 9MFY24 over 9MFY23. In its annual results, the net sales increased by 13.83 per cent to Rs 8,754.4 crore and the net profit increased by 16.44 per cent to Rs 277 crore in FY23 over FY22.

Today, shares of NBCC (India) Ltd hit a 5 per cent upper circuit to an intraday high of Rs 114.80 per share from its previous closing of Rs 109.35. The company has been maintaining a healthy dividend payout of 44.4 per cent. In December 2023, FIIs increased their stake to 4.46 per cent compared to 4.14 per cent in September 2023 while DIIs increased their stake to 10.41 per cent compared to 10.21 per cent in September 2023

The stock gave multibagger returns of 240 per cent in just 1 year whereas BSE Sensex is up by 25 per cent. Investors should keep an eye on this stock.

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