ITCONS E-Solutions Soars 9% After Securing Key Ministry of Education Contract
In a major development, ITCONS E-Solutions Ltd, a leading workforce solutions provider, has secured a significant contract from Dr. Harisingh Gour Vishwavidyalaya, Sagar (M.P.), under the Ministry of Education. This milestone agreement marks another big leap for the company in expanding its manpower services within the educational sector.
Stock Surges on Contract Win
The announcement of this contract sparked excitement among investors, leading to a sharp rise in the company’s stock price during Thursday’s trading session. The stock surged by 8.9%, touching an intra-day high of ₹507.40 per share, up from its previous close of ₹505.95. However, some profit booking was observed, bringing the stock price slightly down to ₹504.90 per share.
Contract Details
ITCONS E-Solutions has been awarded the contract to provide 23 manpower services to the Institute of Engineering and Technology at Dr. Harisingh Gour Vishwavidyalaya for a period of one year. The contract will be effective from April 1, 2025, to March 31, 2026, with a total value of ₹51.37 lakh (inclusive of taxes).
This latest work order strengthens ITCONS E-Solutions’ presence in the education sector and reaffirms its ability to secure contracts from prestigious government institutions.
ITCONS E-Solutions’ Recent Developments
Apart from the latest Ministry of Education contract, the company has been on an aggressive expansion spree, bagging several high-value contracts:
- ₹3 Crore Contract – ITCONS E-Solutions secured a manpower services contract from the Central Warehousing Corporation.
- ₹45 Crore Order – A technical services contract from Proteam Advisory Solutions LLP.
- Strategic Partnership – The company is collaborating with UNi B Solutions (USA) to provide toll processing solutions for NHAI.
- Retail Sector Expansion – ITCONS has onboarded 120 employees for City Mall, with an annual billing expectation of ₹3.88 crore.
- Consulting Orders – ITCONS has also ventured into consulting services for intellectual property (IP) asset management.
These developments indicate ITCONS E-Solutions’ rapid growth and ability to capitalize on opportunities across multiple industries.
Financial Performance & Growth
The company has demonstrated strong financial performance in recent quarters:
| Financial Metric | H1 FY25 | H1 FY24 | Growth (%) |
|---|---|---|---|
| Revenue | ₹17.54 Cr | ₹12.78 Cr | 37.3% |
| Net Profit | ₹1.29 Cr | ₹0.77 Cr | 67% |
The significant jump in both revenues and profits showcases the company’s robust business model and increasing demand for its workforce solutions.
Key Financial Ratios
Here’s a closer look at the company’s key financial ratios:
| Metric | Value |
|---|---|
| Market Cap | ₹254 Cr. |
| Current Price | ₹505 |
| 52-Week High / Low | ₹767 / ₹48.6 |
| Stock P/E | 104 |
| Book Value | ₹63.8 |
| Dividend Yield | 0.00% |
| Return on Capital Employed (ROCE) | 20.9% |
| Return on Equity (ROE) | 14.6% |
| Face Value | ₹10.0 |
| Promoter Holding | 59.4% |
| Price-to-Book Value | 7.90 |
| Debt-to-Equity Ratio | 0.12 |
| Industry P/E | 25.2 |
| EPS (Earnings Per Share) | ₹4.83 |
| Intrinsic Value | ₹97.2 |
| Debt | ₹3.73 Cr. |
| Return on Assets | 11.2% |
| Price-to-Sales Ratio | 7.63 |
Despite its high P/E ratio (104) compared to the industry average of 25.2, the company’s strong revenue growth, low debt, and high return on assets (11.2%) suggest a solid financial foundation.
About ITCONS E-Solutions Ltd
Founded in 2007 and headquartered in Noida, ITCONS E-Solutions Ltd specializes in recruitment, staffing, and technology solutions. The company provides a wide range of services including:
- IT & General Staffing
- Recruitment Process Outsourcing (RPO)
- Permanent Hiring & Payroll Services
- Managed IT Services & Product Installations
ITCONS E-Solutions caters to multiple sectors, including IT, healthcare, manufacturing, engineering, logistics, media, finance, and government institutions.
Conclusion
The latest contract win with Dr. Harisingh Gour Vishwavidyalaya under the Ministry of Education is a testament to ITCONS E-Solutions’ strong market position and expanding footprint in government projects. With multiple high-value contracts in hand and consistent revenue growth, the company is well-positioned for long-term success.
Frequently Asked Questions (FAQs)
1. Why did ITCONS E-Solutions’ stock rise by 9%?
The stock surged after the company secured a new contract from Dr. Harisingh Gour Vishwavidyalaya, Sagar, under the Ministry of Education. Investors reacted positively to this development.
2. What is the value of the latest contract secured by ITCONS?
The contract is valued at ₹51.37 lakh, and it involves providing 23 manpower services for one year.
3. What are some of ITCONS E-Solutions’ recent achievements?
The company recently secured:
- ₹3 crore manpower contract from the Central Warehousing Corporation.
- ₹45 crore technical services order from Proteam Advisory Solutions LLP.
- A partnership with UNi B Solutions (USA) for toll processing solutions for NHAI.
- 120 employee onboarding for City Mall, with ₹3.88 crore in expected annual billing.
4. How has ITCONS performed financially in recent years?
For H1 FY25, the company reported:
- Revenue of ₹17.54 crore (37.3% growth YoY).
- Net profit of ₹1.29 crore (67% growth YoY).
5. Is ITCONS E-Solutions financially stable?
Yes, ITCONS has a low debt-to-equity ratio (0.12), a healthy ROE (14.6%), and strong revenue growth. However, its P/E ratio (104) is quite high compared to the industry average (25.2).
6. What industries does ITCONS E-Solutions serve?
ITCONS provides staffing, recruitment, and technology solutions across multiple sectors, including IT, healthcare, manufacturing, engineering, logistics, media, finance, and government institutions.
7. What is the promoter holding in ITCONS E-Solutions?
The promoters hold 59.4% of the company’s shares, indicating strong management confidence in the business.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.