Synopsis: Shares of this penny stock surged 9% after securing a Rs. 40.5 crore EPC highway project from the National Highways Authority of India for bridge and road works in Bihar, boosting its order book and near-term revenue visibility.
The shares of this construction company specialising in civil and defence construction, such as the construction of Buildings, Highways, Marine Works, and bridges are now in the spotlight after it rose by 9% in today’s market session after securing an order from the National Highways Authority of India.
With a market capitalisation of Rs. 84 cr, the shares of RKEC Projects Ltd were trading at Rs. 32.5 per share, increasing 9% in today’s market session, making a high of Rs. 33.50, up from its previous close of Rs. 30.85 per share.
About the order
RKEC Projects Ltd has been awarded a work order by the National Highways Authority of India, which is a key government body responsible for the development and maintenance of national highways across the country.
The project pertains to the “balance work” of a new bridge over the Gandak River, along with the construction of approach roads and the rehabilitation of existing structures, including the Gandak Bridge and the Mahi Bridge. This work falls under the Chapra–Hajipur section of National Highway-19 in the state of Bihar, and will be executed under the Engineering, Procurement, and Construction (EPC) mode.
The total value of the contract is approximately Rs. 40.50 crore, and the company has clarified that the order has been secured in the ordinary course of its business operations. Such project wins typically strengthen the company’s order book and provide revenue visibility for upcoming quarters, especially in the infrastructure and construction segment.
RKEC Projects Limited is a construction company with over 37 years of experience, specialising in civil and defence infrastructure such as buildings, highways, bridges, and marine works. It has executed projects across multiple Indian states, showcasing strong expertise in handling diverse and complex engineering assignments.
In recent years, the company has expanded its footprint further with ongoing projects in new regions, reflecting its steady growth and strengthening position in India’s infrastructure sector.
It reported a weak YoY performance for Q3FY26, with sales declining to Rs. 32.6 crore from Rs. 119 crore, a drop of 73%. EBITDA fell to Rs. 6.87 crore from Rs. 17.0 crore, marking a 60% decline, while net profit decreased to Rs. 1.71 crore from Rs. 6.35 crore, down 73%. Earnings per share (EPS) also dropped sharply to Rs. 0.66 from Rs. 2.65, reflecting a 75% decline.
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