Rs 9,600 crore order book: This multibagger civil construction company reports a 90 per cent jump in net profit; stock hits 52-week high!

The stock gave multibagger returns of 150 per cent returns in just 1 year and over 350 per cent growth in three years.

Welspun Enterprises Limited (WEL), formerly known as Welspun Projects Ltd., is a part of the USD 3 billion Welspun Group. The company has announced its Quarterly Results and the order book ended on June 30, 2023. Details below:

Quarterly Results: The net sales increased by 1.24 per cent to Rs 698.73 crore, the operating profit skyrocketed by 156.64 per cent to Rs 156.68 crore and the net profit increased by 90 per cent to Rs 91.78 crore in Q1FY24 compared to Q1FY23. The EPS for Q1FY24 stood at Rs 6.73.

Order Book Updates: As of June 30, 2023, the company’s order book stands at Rs 9,600 crore which provides strong revenue growth visibility in the upcoming year. The order book is 2.50 times its market cap of Rs 3,900 crore.

Annual Results: The net sales increased by 105.48 per cent to Rs 2,758.19 crore and the net profit skyrocketed by 479.59 per cent to Rs 722.55 crore in FY23 compared to FY22.

The company operates in the infrastructure space with investments in oil & gas. In the infrastructure space, WEL is focused on the road and water sectors. While the company’s main focus is on Hybrid Annuity Model (HAM) projects as a developer, it also takes up value accretive projects in the BOT-Toll and EPC space.

On Wednesday, shares of WEL surged 7.85 per cent to Rs 2680.95 per share with an intraday high of Rs 284 and an intraday low of Rs 258.70. The stock also traded at a new 52-week high of Rs 284 per share with a spurt in volume by more than 3.44 times on BSE.  

The stock gave multibagger returns of 150 per cent returns in just 1 year and over 350 per cent growth in three years. Investors are advised to keep an eye on this Small-Cap stock.

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