RPP Infra Projects hits upper circuit after company notifies order win worth ₹412.81 crore

Shares of RPP Infra Projects hit their 5% upper circuit on Tuesday after the company informed the stock exchanges about an order win worth ₹412.81 crore.

RPP Infra said its joint venture with V Sathyamoorthy & Co has won the order for a major up-gradation of Raipur Railway Station on engineering, procurement and construction (EPC) model. The company also pointed out that the company has a strong work order of ₹3,256.68 crore as on April 23, 2024. The time period for the execution of the contract is three years, it said in the exchange filing.

Last month, the company had won a contract worth ₹94.13 crore from the State Industries Promotion Corporation of Tamil Nadu (SIPCOT) for the formation of internal roads, construction of RCC drain, RCC culvert, minor bridges, providing pipe causeway and street light arrangements in SIPCOT Industrial Park, Shoolagiri. The time period for the execution of the contract is 11 months.

RPP Infra is an EPC company with a diversified presence in highways, roads and bridges, civil construction (water management), irrigation, mass and affordable housing, and power projects. The company focuses on small to medium government projects with a predominant presence in the southern states, such as Karnataka, Tamil Nadu, Telangana and Andhra Pradesh.

During the third quarter of fiscal year 2024, the company reported a 35% rise in its standalone operating revenue at ₹319.12 crore. Net profit more than doubled to ₹16.08 crore during the quarter.

For the nine-months ended period till December 31, 2023, RPP Infra reported a 28% increase in its operating revenue at ₹941.40 crore. Net profit rose over 236% year-over-year for the period to ₹43.58 crore.

Shares of the company have traded almost flat since the beginning of the year. RPP Infra’s stock, however, has gained over 195% in the last one year.