Rs 2,255.69 Crore Order Book: Mukul Agarwal Backed Rail Infrastructure Company Wins Rs 3.98 crore Order From Rail Coach Factory

With a PE ratio of 35.8, the company trades at a premium compared to the industry PE of 25.3. The company has ROCE of 12.3 per cent and ROE of 15.2 per cent. 

Oriental Rail Infrastructure Ltd has announced that it has secured orders worth Rs 3,98,94,428.84 from Rail Coach Factory (RCF), Kapurthala, Indian Railways. The orders involve the manufacturing and supplying of railway coach seats.  Specifically, the orders are for:  

• 26 sets of seats for LHB Non AC Chair Car Coaches (108 Seater)   
• 8 sets of seats for LHB 2nd AC Chair Car Coaches (78 Seater)   

The delivery of these seats is to be made to RCF Furnishing Depot.   

As for the payment terms, 95 per cent of the payment will be received against the Inspection Certificate issued by the nominated inspection agency and proof of dispatch/delivery of the material. The remaining 5 per cent will be paid after receipt, inspection, and acceptance of the goods.   

The company is expected to execute the orders by specific dates:

• The 26 sets of seats for LHB Non AC Chair Car Coaches are to be delivered by October 21, 2025.   
• The 8 sets of seats for LHB 2nd AC Chair Car Coaches are to be delivered by September 10, 2025.   

Oriental Rail Infrastructure Ltd is engaged in the manufacturing, buying, and selling of all types of Recron, Seat & Berth, Compreg Boards, and also engaged in trading of timber woods and all its products.

In the Quarterly Results of December 2024, the company reported revenue of Rs 152.82 crore, compared to Rs 186.13 crore in September 2024 and Rs 146.58 crore in December 2023, reflecting a YoY growth of 4.26 per cent and a QoQ decline of 17.90 per cent. The net profit stood at Rs 7.52 crore, decreasing from Rs 10.46 crore in the previous quarter and Rs 12.51 crore in the same quarter last year, showing a YoY decline of 39.89 per cent and a QoQ decline of 28.11 per cent. The net profit margin for December 2024 was 4.92 per cent, compared to 5.62 per cent in September 2024 and 8.53 per cent in December 2023.

For the full-year results of FY24, the revenue was Rs 526.20 crore, increasing from Rs 325.43 crore in FY23, reflecting a growth of 61.69 per cent. The net profit for FY24 stood at Rs 28.21 crore, rising significantly from Rs 27.30 crore in FY23, with a growth of 2381.82 per cent. The net profit margin for FY24 was 5.19 per cent, compared to 0.34 per cent in FY23.

As of December 2024, the shareholding pattern indicates that promoters hold 56.05 per cent, foreign institutional investors (FIIs) hold 0.42 per cent, and the public holds 43.54 per cent. Compared to the previous quarter (September 2024), there is a slight increase in promoter shareholding from 54.81 per cent to 56.05 per cent, while public shareholding has decreased from 44.87 per cent to 43.54 per cent. FIIs have also seen a marginal rise from 0.33 per cent to 0.42 per cent.

With a PE ratio of 35.8, the company trades at a premium compared to the industry PE of 25.3. The company has ROCE of 12.3 per cent and ROE of 15.2 per cent. 

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

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