HG Infra Engineering promoters offload over 17.96 lakh shares of the firm through block deals, firm announces order win

According to data on BSE, Girishpal Singh Family Trust and Harendra Singh Family Trust sold the shares to a group of mutual funds that include Aditya Birla Sun Life Mutual Fund, ITI Mutual Fund, Societe Generale, Sundaram Mutual Fund, Bandhan Mutual Fund and Tata Mutual Fund. The sale happened at a price of ₹1,566.50 per scrip, implying the stake sale was worth over ₹281 crore.

On Wednesday, shares of the firm were trading 2.57% higher at ₹1,623.45.

Meanwhile, HG Infra notified the exchanges about an order win from the Ministry of Road Transport and Highways (MoRTH). The company was selected as the L1 bidder for the up-gradation of the existing six-lane road including elevated corridor from Narol Junction to Sarkhej Junction in Gujarat, on a hybrid annuity model.

The project has to be executed within two-and-a-half years, the firm said. The size of the project stands at ₹781.11 crore.

During the first quarter of fiscal year 2025, HG Infra reported 13.1% year-on-year (YoY) growth in revenue from operations at ₹1,528.04 crore. Earnings before interest, tax, depreciation, and amortisation (EBITDA) rose 11.3% YoY to ₹312.32 crore while EBITDA margin fell marginally to 20.44% compared to 20.78% in the same period last year.

Net profit rose 8.1% YoY to ₹162.57 crore while profit margin declined marginally to 10.64% compared to 11.13% in Q1FY24.

The firm’s total consolidated debt stood at ₹2,015.40 crore as of June 2024. During the earnings call, the management said the firm is actively pursuing opportunities in new segments and is focused on operational efficiency, prudent capital allocation and strategic selection of projects that would ensure margin sustainability and enhance shareholders’ values.

The management also asserted that HG Infra aims to further increase its order book share from non-road projects while continuing to strengthen its position in the roads and highways sector.

Shares of the firm have gained over 91% since the beginning of the year. The stock has risen over 74% in the last one year.