Avantel stock zooms over 12% in a day; up 118% in one year; check details

Aerospace and defence company Avantel’s share price today skyrocketed up to 12.47 per cent at Rs 193 per share after the company bagged an order worth Rs.44.49 crore from Larsen and Toubro.

The country's biggest infrastructure major, L&T gave an order for supply of Satcom Systems to Avantel. The company post market hours on Friday said in an exchange filing that the supply order will be executed by March 2025. 

Gurugram based Avantel specialises in manufacturing wireless front-end satellite communication systems, signal processing, network management, and software development. The company also provides customer support services and has an in-house R&D facility in Vishakhapatnam, Andhra Pradesh. Its journey began with the design, development, and manufacturing of essential components for the wireless industry.

Avantel’s share price history

Avantel share price has soared 84.90 per cent in the last six months against BSE’s Sensex rise of 15.23 per cent. Meanwhile, in the last one year the company’s shares have appreciated by 118.49 per cent, while Sensex climbed 28.92 per cent.

Avantel shares are trading at price to earnings valuation of 76.12  times, while having an earning per share of Rs 2.25. The company has a total market capitalization of Rs 4,511.43 crore. 

At 09:52 AM,  Avantel stock price soared 6.59 per cent to Rs 182.90 per share on the BSE. By comparison, the BSE’s Sensex dropped by 0.87 per cent at 84,827.10 level. 

Avantel financial performance

On the financial front, the company’s revenue from operations decreased by 25 per cent to Rs 51.65 crore during the June quarter of financial year 2024-25 (Q1FY25) from Rs 68.90 crore in the corresponding period a year earlier. Meanwhile, the company recorded a profit of Rs 8.08 crore  in the June quarter of FY25, down 7 per cent against Rs 8.69 crore in the same quarter of FY24. 

From March 2020 to March 2024, Avantel has experienced impressive growth in revenue and net profit. Revenue from operations increased from Rs 51.92 to Rs 223.92, reflecting a remarkable rise of approximately 331 per cent. Similarly, net profit grew from Rs 10.76 to Rs 55.45, marking an increase of about 416 per cent. This strong performance highlights Avantel's success in the wireless industry through effective cost management and rising demand for its products and services.