Construction stock jumps 6% after company receives ₹307 Cr order for railway infra works

Synopsis :- Small-cap Infra stock is in focus today after receiving a sub-contract worth Rs. 307.08 crore from ISC Projects Pvt. Ltd.

A small-cap company that is in the business of development of infrastructure facilities on EPC basis and undertakes contracts from various Government, is in the spotlight after receiving Rs. 307 Cr order for Railway Infra works

With the market capitalization of Rs. 8,045.08 crore, the shares of Dilip Buildcon Limited are trading at Rs. 494.70, up by 2.50 percent from its previous day’s close price of Rs. 482.65. It has touched an intraday high of Rs. 511.95 in today’s trading session, implying up by 6 percent from previous close price.

Work Order

Dilip Buildcon Limited has received a sub-contract worth Rs. 307.08 crore (including GST) from ISC Projects Pvt. Ltd. for composite railway construction work under the South Eastern Railway’s Chakradharpur Division at Barpali loading bulb, Kusara. The project involves extensive civil, structural, and track-related works and is to be completed within 24 months.

A Barpali loading bulb refers to a specialized railway infrastructure created in the Barpali region, designed to facilitate efficient bulk loading and evacuation, primarily of coal onto trains. 

About the Company 

Dilip Buildcon Limited, founded in 1987 and based in Bhopal, is an infrastructure company engaged in engineering, procurement, and construction (EPC) projects across India. It develops and maintains roads, highways, bridges, tunnels, irrigation systems, metros, airports, and urban infrastructure, while also handling toll operations and government contracts.

A return on equity (ROE) of about 8.06 percent, a return on capital employed (ROCE) of about 12.92 percent and debt to equity ratio of 1.88 demonstrate the company’s financial position. At the moment, the company’s P/E ratio is 19.95x higher as compared to its industry P/E 19x.  

In Q1 FY26, the company reported a revenue of Rs. 2,620.3 crore, down by 16.4 percent YoY from Rs. 3,134.2 crore in Q1 FY25 and declined by 15.37 percent QoQ from Rs. 3,096.1 crore in Q4 FY25. Profit for the quarter stood at Rs. 229 crore, rising 91.63 percent YoY from Rs. 119.5 crore in Q1 FY25, and increasing by 34.07 percent QoQ from Rs. 170.8 crore in Q4 FY25.

Written by Akshay Sanghavi

Disclaimer

The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Construction stock jumps 6% after company receives ₹307 Cr order for railway infra works appeared first on Trade Brains.