Shares of Ashoka Buildcon Ltd skyrocketed 8% and hit an intraday high of Rs 244 on Wednesday, 13 November, after the company announced its quarterly earnings for July-September. 

The company’s net profit for the quarter under review surged by 311.7% year-on-year (YoY) to Rs 462 crore compared to Rs 107 crore reported in the same quarter of the previous fiscal year. 

The revenue from operations of the company during the quarter stood at Rs 2,489 crore, marking a 15.5% YoY increase from Rs 2,154 crore reported in the same quarter last year. 

On the operating front, the earnings before interest, tax, depreciation, and amortisation (EBITDA) increased by 66.3% YoY to Rs 544 crore for Q2FY25, whereas the EBITDA margins increased by 1,110 basis points to 36.3% for Q2FY25 against 25.2% in Q2FY24. 

As of 30 September, the total order book of the company stood at Rs 11,104 crore, highlighting a 7.2% YoY growth. Of the total order book, Road EPC business constitutes 46.6%, whereas transmission and Distribution (T&D) business constitutes 35.5% of the total order book. Railways, Road HAM, and EPC-building projects comprise the remaining 17.8%.

The company’s debt on a standalone basis stood at Rs 1,317 crore, from which Rs 109 crore is of equipment/term loans and Rs 1,209 crore of working capital loans. 

The company focuses on building infrastructure projects through engineering, procurement, and construction (EPC) contracts, as well as using the build, operate, and transfer (BOT) model. Additionally, it offers ready-mix concrete for sale. For certain projects, the company has created special purpose vehicles (SPVs) to acquire toll collection rights in return for financing construction expenses.

At 11:43 am, the shares of Ashoka Buildcon were trading 3.35% higher at Rs 232.43 on NSE.

Discover the next big investment! Unicorn Signals’ IPO screener helps you identify promising initial public offerings. Download Unicorn Signals and get ahead of the curve! Sign Up Now & Find Your Next IPO Gem!