Heavy Buying: Multibagger Civil Construction Company Secures Multiple EPC Contracts Worth Rs 1,738 Crore from Mumbai Metropolitan Region Development Authority!

Rakesh Deshmukh
Heavy Buying: Multibagger Civil Construction Company Secures Multiple EPC Contracts Worth Rs 1,738 Crore from Mumbai Metropolitan Region Development Authority!

The company’s shares have delivered an impressive return of around 100 per cent to its shareholders in the past 1 year.

Ashoka Buildcon Limited has announced that it has received Letters of Award from the Mumbai Metropolitan Region Development Authority (MMRDA) for two projects for which it had submitted bids.

  • The awarded contracts involve Engineering, Procurement, and Construction (EPC) work. The first project entails the Design and Construction of a Creek Bridge from Kolshet to Kalher, with an execution timeframe of 36 months, including the monsoon period, and an accepted contract value of Rs 288.18 Crore plus applicable GST.
  • Furthermore, the second project involves the Design and Construction of a Creek Bridge from Gaimukh to Payegaon, which is set to be completed within 42 months, also including the monsoon period, with an accepted contract value of Rs 975.58 Crore plus applicable GST.

Additionally, the Company has secured another Letter of Award from MMRDA for EPC work on the Design and Construction of an Elevated Road from Kalyan-Murbad Road (Palms Water Resort) to Badlapur Road (Jagdish Dughdhalaya), as well as the Pune Link Road, which will run parallel to the Waldhuni River and cross over the Karjat-Kasara Railway Line, including a slip road. This elevated road project has an execution timeframe of 30 months, including the monsoon period, and an accepted contract value of Rs 474.10 Crores plus applicable GST.

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Today, the shares of Ashoka Buildcon Limited closed at around Rs 232.40 per share on the BSE. The company’s current market capitalization stands at Rs 232.40 crore. Additionally, the shares have delivered a multibagger of around 125 per cent in the past 1 year.

As per the Quarterly Results, in the Q1 FY25, Ashoka Buildcon recorded a revenue of Rs 2465 crore compared to Rs 1935 crore. The operating profit stood at Rs 599 crore. The net profit stood at Rs 158 crore compared to a profit of Rs 72 crore. Looking at the annual performance, the company generated a revenue of Rs 9798 crore in FY24. The operating profit for FY24 was Rs 2233 crore with a net profit of Rs 521 crore compared to a net profit of Rs 373 crore in FY23.

Check out my recent article here.

Investors must keep this Small-Cap stock on their radar.

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

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