Kalpataru Power bags orders worth ₹1,345 cr; share jumps 9%

Shares of Kalpataru Power Transmission Ltd (KPTL) rallied over 9% in intraday trade on Tuesday after the company announced that it has secured new orders worth ₹1,345 crore. The power transmission firm in an exchange filing said the company and its international subsidiaries have bagged orders in the transmission and distribution (T&D) business.

The orders are for pipeline laying works and metro rail electrification in India in joint ventures or in a consortium, KPTL said in a BSE filing today.

Commenting on the new order announcements, Manish Mohnot, Managing Director & CEO, KPTL says “We are pleased with the new order wins secured across our business verticals. The order wins in the T&D and pipeline business help us to further consolidate our order book and establish leadership in key markets.”

“The second metro rail electrification order strengthens our Railways business in new and emerging infrastructure segments. These orders along with the existing order book reaffirm our confidence to achieve targeted growth going forward,” he adds.

Following the announcement, Kalpataru Power shares rose as much as 9.36% to hit an intraday high of ₹440.90 on the BSE. Earlier today, the midcap stock opened 2.44% higher at ₹413, against the previous closing price of ₹403.15. At the time of reporting, the counter was trading up by 6.96% at ₹431.20, around 4% away from 52-week high of ₹451.95 touched on October 18, 2021. In comparison, the BSE Sensex was trading 69 points higher at 59,315 levels.

Kalpataru Power shares trade higher than its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. The stock has gained 5.3% in a week, 16% in the past month and over 15% on a year-to-date (YTD) basis. The share has given a muted return of 4% in the last one year, while it has fallen 4% over a three-year period. However, in the last ten year, the stock surged 566%.

Kalpataru Power shares trade higher than its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. The stock has gained 5.3% in a week, 16% in the past month and over 15% on a year-to-date (YTD) basis. The share has given a muted return of 4% in the last one year, while it has fallen 4% over a three-year period. However, in the last ten year, the stock surged 566%.

The recent uptrend in Kalpataru’s share price was driven by a slew of orders bagged by the company in the recent past. Last month, the engineering, procurement, and construction (EPC) company won new orders of ₹1,524 crore through its subsidiary, JMC Projects (India).

The contract includes an EPC project worth ₹1,012 crore for integration of airport development in Asia, 370 crore water projects in India, and Buildings & Factories (B&F) projects valued at around ₹142 crore.

KPTL is one of the well-known specialised EPC companies engaged in power transmission & distribution, oil & gas pipeline, railways, and civil infrastructure business. It is currently executing projects in over 30 countries and has global footprint in 67 countries.

For the April-June quarter of 2022, the company reported a consolidated net profit of ₹88 crore, up 13% on a year-on-year basis, mainly driven by higher income. The consolidated net profit of the company in the year-ago period stood at ₹78 crore. The total income increased to ₹3,691 crore in Q1FY23, compared to ₹3,218 crore in the same period last year.