Synopsis: Desco Infratech Limited has officially received a Notification of Award (NOA) from Oil and Natural Gas Corporation (ONGC) for a critical pipeline replacement project in Maharashtra. Valued at over Rs. 16.6 crore, this win follows the company’s recent emergence as the L1 bidder and marks a significant addition to its FY27 order book.
In a regulatory filing submitted to the BSE on May 15, 2026, Desco Infratech Limited (DESCO) announced that it has formally received the Notification of Award (NOA) from Oil and Natural Gas Corporation Limited (ONGC). This confirmation follows the company’s disclosure on May 13, where it had initially informed the exchanges of its status as the Lowest Bidder (L1) for the project.
The contract, valued at Rs. 16.67 crore, involves the “Replacement of 24-inch Crude Oil Transfer Pipelines from ONGC Trombay Terminal to BPCL & HPCL Refineries, Uran Plant” in Maharashtra. This project is a vital piece of energy infrastructure, ensuring the seamless transfer of crude oil between one of India’s premier terminals and major public sector refineries.
This award comes on the heels of another operational milestone. Just 24 hours prior, on May 14, the company announced the successful completion and commissioning of a 14-km MDPE pipeline at a Haryana location. The rapid succession of the Haryana commissioning and the ONGC award highlights Desco’s growing execution capabilities in the specialized civil and industrial construction space.
To further professionalize its market presence, the company also recently appointed an Investor Relations/Public Relations (IRPR) professional, signaling a commitment to enhanced transparency and stakeholder communication as it scales its operations.
The financial performance of Desco Infratech shows its growth trajectory. For the full financial year FY25-26, the company reported a Revenue of Rs. 118.61 crore and a Net Profit of Rs. 16.38 crore. The company maintains healthy margins, with an Operating Profit Margin (OPM) of 20.02% and a Net Profit Margin (NPM) of 13.81% for the year.
The current ONGC order represents approximately 14% of the company’s total revenue from the previous fiscal year, providing strong revenue visibility for the early quarters of FY27. Technically, the company’s balance sheet remains efficient, with an Earnings Per Share (EPS) of Rs. 21.34 and a Price-to-Earnings (P/E) ratio of 11.94, which many analysts view as attractive compared to the broader civil construction peer group.
As a listed entity in the ESM: Stage 1 category, Desco Infratech continues to focus on specialized pipeline projects for the oil and gas sector a niche that requires high technical compliance and rigorous safety standards.
Shares of Desco Infratech Limited reacted positively to the official award notification. On May 15, 2026, the stock was trading at Rs. 254.90, up 2.74% from its previous close of Rs. 248.10. The stock touched an intraday high of Rs. 260.00, approaching its upper price band.
The company currently has a market capitalization of Rs. 195.66 crore. The stock has shown significant strength over the past year, trading well above its 52-week low of Rs. 122.00. Investor confidence was reflected in the trading data, which showed 100% deliverable quantity, indicating that all shares traded during the session were taken into long-term portfolios.
Company Overview
Desco Infratech Limited (formerly known as Desco Infratech Pvt Ltd) is an ISO 9001:2015 certified company specializing in civil construction and infrastructure development. The company has carved a niche in the execution of complex pipeline projects, including MDPE and crude oil transfer lines for major public and private sector undertakings. Headquartered in Surat, Gujarat, Desco Infratech is committed to delivering high-quality infrastructure solutions that support India’s energy and utility sectors.
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