Shakti Pumps shares hit 5% upper circuit on ₹558 crore order win from UP government

The stock opened lower at ₹4,400 apiece from its previous closing of ₹4,463.6 apiece and rallied further to hit the upper circuit limit, ending a two-day losing streak.

The water pumps and motors manufacturer said in filing to the stock exchanges on August 2, that it has received a Letter of Intent (LOI) from the Department of Agriculture, Uttar Pradesh, for the supply and installation of 12,537 pumps across the state under Component-B of the PM-KUSUM scheme (Phase-III).

The work order, valued at approximately ₹558.16 crore inclusive of GST, is scheduled for completion by March 31, 2025. The execution will be carried out in a phased manner, with specific quantities and timelines detailed in the forthcoming letters of proceed, the company informed the bourses.

Last month, on July 16, the company received a Letter of Award from the Maharashtra Energy Development Agency (MEDA) for the supply and installation of 1,200 Off-grid Solar Photovoltaic Water Pumping Systems (SPWPS) across various locations in Maharashtra under Component-B of the PM-KUSUM scheme.

This order, valued at approximately ₹33.47 crore inclusive of GST, represents a major step forward in advancing sustainable irrigation solutions in the state, the company informed the bourses.

In Q1FY25, the company reported a 402% year-on-year growth in revenue from operations at ₹567.6 crore compared to ₹113.06 crore in the year-ago period. Its profit after tax (PAT) jumped multifold to ₹92.66 crore in Q1FY25 compared to ₹1 crore in the corresponding period a year ago.