Rs 5,000+ crore order book: This civil engineering company bags single largest order worth Rs 3,498 crore from Oil and Natural Gas Corporation Ltd
The stock gave multibagger returns of 774.4 per cent from its 52-week low of Rs 91.55 per share.
On Monday, one of the Top Gainers on NSE, shares of RBM Infracon Ltd hit a 5 per cent upper circuit to Rs 800.50 per share from its previous closing of Rs 762.40. The stock’s 52-week high is Rs 821.70 and its 52-week low is Rs 91.55.
RBM Infracon Limited announced that it has secured a substantial Service Order from the Oil and Natural Gas Corporation Limited (ONGC). The ONGC has awarded RBM Infracon a contract valued at Rs 3,498 crore for the development of crude oil and gas fields at Nandej. This contract is a significant milestone for RBM Infracon and is expected to contribute significantly to the company's growth and profitability. The project will be executed over 15 years or 180 months from the effective date of the contract.
Additionally, the company has secured new work orders totalling Rs 1,90,46,309.20 (including taxes) from Kalpataru Projects (International) Ltd. These domestic orders are for various services including cleaning, grubbing, infrastructural work, and embankment filling in Noida. The company is committed to delivering high-quality work and completing the project within the specified timeframe. Furthermore, RBM Infracon Limited has also received a service order from Redi Port Limited, valued at Rs 69,08,310 for repairs and maintenance at their facility in Maharashtra.
About the Company
RBM Infracon Limited is a relatively young company established in 2013. Its core business revolves around the engineering, construction, and maintenance of mechanical equipment for a wide range of industries, including oil and gas, cement, fertilizers, petrochemicals and power plants. Essentially, they specialize in bringing complex mechanical systems to life and ensuring their optimal performance. RBM Infracon Ltd with an order book of Rs 1,382 crore as of June 30, 2024 and with all the orders of Q2 the company order book crosses Rs 5,000 crore.
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The company operates by securing contracts primarily through direct negotiations with medium to large infrastructure companies. Their service offerings are extensive, encompassing structural work, piping, tankage, maintenance, turnarounds, painting, insulation, electrical and instrumentation systems, and material handling solutions. RBM Infracon has successfully collaborated with industry giants such as Reliance Industries, Nayara Energy Limited, Afcons Infrastructure Ltd., Chemie-Tech-DORC-Nigeria, Chemie-Tech-Malta, GPPL- Malta, YARA Fertilizers, TATA Projects and L&T, demonstrating their capacity to deliver on large-scale projects.
The company has a market cap of over Rs 800 crore with an ROE of 20 per cent and an ROCE of 28 per cent. The stock gave multibagger returns of 774.4 per cent from its 52-week low of Rs 91.55 per share. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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