Rs 32,600 crore order book: Multibagger stock under Rs 55 in focus as Company report robust aggregate toll collection growth of 20 per cent YoY
The stock is up by 16 per cent from its 52-week low of Rs 45.05 per share and has given multibagger returns of 400 per cent in 5 years.
IRB Infrastructure Developers Ltd. and its Private InvIT associate, IRB Infrastructure Trust, announced a strong start to 2025 with a 20 per cent year-on-year increase in aggregate toll collection for January. Toll collection reached Rs 560 crore, up from Rs 468 crore in January 2024. The companies anticipate continued growth in toll revenue in the coming months, bolstered by budgetary support for the transportation and tourism sectors.
Furthermore, IRB Infrastructure Developers has approved the implementation of the Ganga Expressway Project through its Private InvIT. The project, initially planned as a joint venture with GIC affiliates, will now be partially executed by the InvIT. This restructuring involves the Private InvIT acquiring a 41% stake in Meerut Budaun Expressway Limited (MBEL) from IRB, along with associated debentures, for approximately Rs 874.61 crore. IRB will also receive Rs 6,422 crore (plus taxes) for project management services related to the remaining project implementation.
IRB Infrastructure Developers Ltd (IRB) is India’s first Integrated Multi-National Transport Infrastructure Developer in the Roads & Highways segment. The Company has acquired ISO Certification in Quality (ISO 9001); Environment Management (ISO 14001), Occupational Health and Safety (ISO 45001) and IT Security (ISO 27001) from the ISOQAR, United Kingdom. As the largest integrated private toll roads and highways infrastructure developer in India, IRB has an asset base of approx. Rs 80,000 crore. in 12 States across the parent company and two InvITs.
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The company has a strong track record of constructing, tolling, operating, and maintaining around 18,500 Lane Kms pan India in its existence of more than 25 years in India; of which 15,500 Lane Kms are under operation at present. The group commands a market share of around 33 per cent in the TOT space. It also comprises around 14 per cent share in the prestigious Golden Quadrilateral Highway Project and a 12 per cent share in India’s North-South highway connectivity. After completing 13 Concessions and handing over them to the nodal agencies, at present, IRB Group’s project portfolio (including Private and Public InvIT) has now 26 road projects that include 18 BOT, 4 TOT, and 4 HAM projects.
The company has a market cap of over Rs 30,000 crore. As of September 2024, LIC owns a 3.49 per cent stake in the company and has an order book worth Rs 32,600 crore as of September 30, 2024. The stock is up by 16 per cent from its 52-week low of Rs 45.05 per share and has given multibagger returns of 400 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.