Shares of ISGEC Heavy Engineering rose 4% intraday on March 27 after the company secured an investment of Rs 197.25 crore from Maharashtra State Power Generation Corporation (MSPGC).

The order is for the retrofit and modernization of electrostatic precipitators for MSPGC’s 2×500 MW TPP at Chandrapur Thermal Power Station, the company said in an exchange notice.

The company also has a partnership and licensing agreement with the US-based United Conveyor Corporation. The deal is for the bidding and execution of ash-handling projects for coal-fired power plants in India.

Shares of the company were up 2.2% at Rs 451.85 on the BSE at 1:24 pm. The stock has fallen 16% over the past year.

The company reported net sales of Rs 1,597.06 crore in the December quarter, up 14% year-on-year. Net profit soared 34% to Rs 62.96 crore.

BNP’s Sharekhan has a “neutral” rating on ISGEC Heavy Engineering. It added that despite the better December quarter, continued improvement in overall performance and consolidated operating margins might take time because of volatile margins at its manufacturing unit.

Its cash conversion cycle, or the time it takes a company to convert its investments in inventory and other resources into cash flow from sales, has been increasing since March 2020. Shorter cash conversion cycles are good because funds will be tied up for shorter spans.