Rs 34,800 crore order book: LIC-backed transport infrastructure developer company’s toll revenue increased 35 per cent on a YoY basis

The stock gave multibagger returns of 179.5 per cent from its 52-week low of Rs 24.97 per share and a whopping 650 per cent in 5 years.

On Thursday, shares of IRB INFRASTRUCTURE DEVELOPERS LTD (IRB) backed by Life Insurance Corporation of India (LIC) gained 2.41 per cent to an intraday high of Rs 69.79 per share from its previous closing of Rs 68.15. The stock’s 52-week high is Rs 76.55 and its 52-week low is Rs 24.97. The shares of the company saw a spurt in volume by more than 5.67 times on BSE.

IRB Infrastructure Developers Limited and IRB Infrastructure Trust showed continued strong performance in toll revenue collection. They reported a 35 per cent year-over-year increase in toll revenue for June 2024, reaching Rs 517 crore compared to Rs 383 crore in June 2023. This positive trend extended to the entire first quarter of the fiscal year 2025 (Q1FY25) with a combined toll collection of Rs 1,556 crore, reflecting a 32 per cent growth year-over-year compared to Rs 1,183 crore collected in the same quarter of the previous fiscal year.

IRB Infrastructure Developers Ltd (IRB) is a leading Indian infrastructure developer specializing in roads and highways. Holding the distinction of India's first Integrated Multi-National Transport Infrastructure Developer in this sector, IRB boasts a strong track record of over 25 years. With certifications in quality, environment, safety, and security (ISO 9001, 14001, 45001, and 27001), IRB has established itself as a reliable and responsible player. The company manages a vast asset base of approximately Rs 80,000 crore across 12 states, encompassing projects under the parent company and two Infrastructure Investment Trusts (InvITs).

IRB has demonstrably constructed, operated, and maintained nearly 18,500 lane kilometres of roads pan-India, with over 15,500 currently operational. Holding a significant market share of around 38 per cent in the Toll Operate and Transfer (TOT) space and contributing 12 per cent to India's North-South highway connectivity, IRB is a major player in the country's infrastructure landscape. Having completed and handed over 13 concessions, IRB's current project portfolio (including both private and public InvITs) encompasses 26 road projects, strategically divided into 18 Build-Operate-Transfer (BOT), 4 TOT, and 4 Hybrid Annuity Model (HAM) projects.

According to Quarterly Results, the net sales increased by 27.2 per cent to Rs 2,061.24 crore and net profit increased by 94.2 per cent to Rs 324.20 crore in Q4FY24 compared to Q4FY23. In its annual results, the net sales increased by 15.7 per cent to Rs 7,409 crore and net profit increased by 11.3 per cent to Rs 920.67 crore in FY24 compared to FY23.

The company has a market cap of over Rs 40,000 crore. As of March 2024, LIC owns a 3.33 per cent stake in the company and has an order book worth Rs 34,800 crore as of March 31, 2024.On May 30, 2024, the promoters of the company sold 24,00,00,000 shares or 3.97 per cent via the open market on BSE and NSE. The stock gave multibagger returns of 179.5 per cent from its 52-week low of Rs 24.97 per share and a whopping 650 per cent in 5 years. Investors should keep an eye on this stock.

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

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