IRB Infra gains after bagging road project

IRB Infrastructure Developers rose 1.39% to Rs 193.95 at 10:51 IST on BSE after the company said it bagged a road project in Rajasthan.

The announcement was made after market hours on Friday, 9 December 2016.

Meanwhile, the BSE Sensex was down 130.84 points, or 0.49%, to 26,616.34.

On the BSE, so far 1.07 lakh shares were traded in the counter, compared with average daily volumes of 2.92 lakh shares in the past one quarter. The stock had hit a high of Rs 197 and a low of Rs 193.40 so far during the day.

The stock hit a 52-week high of Rs 269.30 on 4 January 2016. The stock hit a 52-week low of Rs 177.50 on 23 November 2016. The stock had underperformed the market over the past 30 days till 9 December 2016, falling 12.21% compared with the 2.80% decline in the Sensex. The scrip had also underperformed the market in past one quarter, falling 22.27% as against Sensex's 7.12% decline.

The mid-cap company has equity capital of Rs 351.45 crore. Face value per share is Rs 10.

IRB Infrastructure Developers said it has emerged as a preferred bidder for the project of six laning of Kishangarh to Gulabpura section of National Highway (NH) 79A and NH 79 in Rajasthan under National Highways Development Project (NHDP) Phase V package - I Project.

The project is on design-build-finance-operate-transfer (DBFOT) pattern. Project length is approximately 90 kilometers. The concession period of the project is 20 years, including construction period of 910 days. The company will get tolling rights on project from the appointed date. The company has offered premium of Rs 186.30 crore to National Highways Authority of India (NHAI) in terms of the concession agreement.

Upon award of this project, the company's construction order book stands at approximately Rs 11061 crore.

On a consolidated basis, IRB Infrastructure Developers' net profit fell 5% to Rs 142.18 crore on 12.31% increase in net sales to Rs 1290.59 crore in Q2 September 2016 over Q2 September 2015.

IRB Infrastructure Developers is an integrated infrastructure development and construction company with significant experience in toll roads and highways sector.

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