Here's why JNK India locked in 5% upper circuit today; up 18% from listing

Shares of JNK India locked in 5 per cent upper circuit at Rs 735 per share on the BSE in Friday's intraday trade

Don't want to miss the best from Business Standard?

Shares of JNK India locked in 5 per cent upper circuit at Rs 735 per share on the NSE in Friday’s intraday trade. This came after the company bagged a large order from a government entity and posted staggering growth in its revenues for the first quarter of the financial year 2024-25 (Q1FY25)

The heating equipment manufacturer on Friday said that it has received a large order from Hindustan Petroleum Corporation Limited (HPCL) on August 14, 2024 for setting up a new process plant. The new plant - HP TDAE (treated distillate aromatic extracts) unit on LSTK (lump sum turnkey) contract basis at HPCL Mumbai refinery, the company said in an exchange filing. The range for a large order lies between Rs 50-150 crore, according to the company's disclosures.

Post market hours on Wednesday, the company also announced its Q1FY25 results, with its total revenues rising by 138.2 per cent year-on-year, reaching Rs 90.8 crore, compared to Rs 38.1 crore in Q1FY24. 

Earnings before interest tax depreciation and amortisation (Ebitda) grew by 35.8 per cent to Rs 12.1 crore, yielding an Ebitda margin of 13.4 per cent. 

Profit Before Tax increased by 22.8 per cent to Rs 7.3 crore, while Profit After Tax surged by 62.6 per cent to Rs 6.4 crore, with a margin of 7.0 per cent. 

Additionally, the company expanded its order book to Rs 124.61 crore, and achieved an order inflow of Rs 70.98 crore for the quarter.

JNK India has a total market capitalisation of Rs 4,088.14 crore. The company’s shares have rallied 15 per cent since their listing in April this year. 

JNK India manufactures heating equipment, including process-fired heaters, reformers, and cracking furnaces, essential for industries such as oil and gas refineries, petrochemicals, and fertilisers. The company has diversified into flares and incinerator systems and is advancing its capabilities in the renewable sector, focusing on green hydrogen.