Infra stock under ₹80 hits 5% upper circuit after it targets ₹1,250 Cr orderbook by FY27

During Thursday’s trading session, the shares of one of the prominent players in India’s infrastructure and EPC sectors hit a 5 percent upper circuit on NSE, following the company’s guidance for the financial year 2026-27 regarding its order book, revenue, and net profit.

Price Movement

With a market capitalisation of Rs. 91.2 crores, the shares of K2 Infragen Limited hit a 5 percent upper circuit at Rs. 72.25, as against its previous closing price of Rs. 68.85. The stock hit its 52-week high at Rs. 329 on 4th July 2024, and compared to current price levels of Rs. 72.25, the stock is trading at a discount of nearly 78 percent.

Management Guidance

By FY27, K2 Infragen aims to expand its order book to over Rs. 1,250 crores, with projected revenue of Rs. 450 crores and net profit reaching Rs. 36 crores. The company’s strategic focus includes expanding into renewable energy projects like solar and wind, direct bidding in Transmission and Railway segments, and engaging in JV bidding for roads & other large EPC projects. Additionally, K2 Infragen is investing in technology, adopting AI and IoT for real-time project monitoring.

Order Book & Capex

As of 15th March 2025, K2 Infragen’s order book stands at Rs. 547.43 crores, with unexecuted orders totalling Rs. 327 crores.The largest contribution to the order book comes from Roads Projects (64.23 percent), followed by Water Supply Projects (17.99 percent), Power Projects (10.37 percent), Railway Projects (7.13 percent), and Civil Work Projects (0.23 percent). The company achieved an on-time project delivery rate of 83 percent in FY25. K2 Infragen’s capex plan includes an investment of Rs. 12 crores for machinery upgrades.

Also read: PSU defence stock with revenue guidance of over ₹3,000 Cr for FY25 to add to your watchlist

Recent Orders

15th January: K2 Infragen secured an order worth Rs. 48.34 crores for the strengthening of the existing two-lane road from km 0.00 to km 56.480 Ghazipur – Zamania – Saiyad Raja NH-97 (New NH – 24) in Uttar Pradesh under EPC MODE. The contract, awarded by NHAI to PPP Infrastructure Pvt Ltd., will be executed by K2 Infragen Ltd.

3rd February: A road project contract worth Rs. 142.14 crores was secured by the company for the strengthening and maintenance work on the section from Km 0.00 to Km 123.454 of the Jetpur-Somnath Section in Gujarat, under a Performance-Based Maintenance Contract (PBMC). The contract, awarded by NHAI to SRM Contractors Limited, will be executed by K2 Infragen Ltd.

Financials

The company reported a decline in revenue from operations, experiencing a year-on-year fall of nearly 13.5 percent, decreasing from Rs. 59 crores in H1 FY24 to Rs. 51 crores in H1 FY25. During the same period, the company’s net profit decreased from Rs. 6 crores to Rs. 4 crores, representing a decline of 33.3 percent YoY.

About the Company

Founded in 2015, K2 Infragen Limited is an integrated EPC company offering a comprehensive suite of services, encompassing project engineering from design to execution, and power engineering solutions tailored to the evolving power sector.

Written by Shivani Singh

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