Infrastructure stock surged by 7% following the announcement of a new order from Adani Energy for transmission lines.
Infrastructure stock surged: During Tuesday’s trading session, shares of Bajel Projects Limited, a key player in the infrastructure sector specializing in complex projects related to power transmission and distribution, surged by 7 percent. This increase was driven by the receipt of a work order from Adani Energy Solutions Limited (AESL) for the construction of 400KV D/C Raipur-Tiroda Transmission Lines.
With a market capitalization of Rs. 2,655.47 crores on Tuesday, Bajel Projects Limited’s shares were trading at Rs. 237.75, representing a 7 percent increase from its previous closing price of Rs. 230 per share, reaching a high of Rs. 246 per share.
Bajel Projects, known for its expertise in power transmission and distribution projects, successfully secured a contract for the supply of Goods and Services from Adani Energy Solutions Limited (AESL).
The contract entails the construction of 400KV D/C Raipur-Tiroda Transmission Lines in Chhattisgarh and Maharashtra, covering a distance of 217 km. This project is an Engineering, Procurement, and Construction (EPC) contract with a duration of 18 months from the issuance of the Letter of Award. It represents a significant milestone for Bajel Projects in the transmission infrastructure sector.
Bajel Projects Limited is a prominent infrastructure company specializing in the execution of high-quality and intricate projects, primarily in the power transmission and distribution sectors. The company offers comprehensive solutions for the design, development, and maintenance of power transmission lines, substations, and related infrastructure. Their expertise encompasses various project execution stages, including planning, material procurement, civil construction, electrical work, and commissioning.
Ownership of Bajel Projects Limited is structured as follows: the promoters hold 62.61 percent, Foreign Institutional Investors (FIIs) own 0.49 percent, Domestic Institutional Investors (DIIs) control 8.30 percent, and the public holds 28.59 percent.
In terms of financial performance, the company’s revenue surged by 230 percent from Rs 202.11 crore to Rs 667.56 crore in Q2FY24-25. Additionally, the net profit increased from a loss of Rs 4.44 crores to a profit of Rs 3.66 crore during the same period.
Key Financial Ratios
Bajel Projects Limited boasts a Return on Equity (RoE) of 4.38% and a Return on Capital Employed (RoCE) of 8.67%. Additionally, the company maintains a debt-to-equity ratio of 0.32.
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