HFCL soars 7% on winning Rs 1,015 cr order from Madhya Pradesh govt firm

The company has secured an order aggregating Rs 1,015 crore from Madhya Pradesh Jal Nigam, a Government of Madhya Pradesh Undertaking (MPJN).

Shares of HFCL soared 7 per cent to high a high of Rs 77.50 in Monday's intra-day trades on the back of winning a mega order, in an otherwise subdued market.

At 1:15 PM, the stock was up 4 per cent at Rs 75.20 with trades of around 9.79 lakh shares as against the two-week average volume of around 11.57 lakh shares on the BSE. Meanwhile, the S&P BSE Sensex was down 0.2 per cent at 67,700.

According to a release issued by the company to the BSE on Sunday, it has secured the order aggregating to Rs 1,015 crore, from Madhya Pradesh Jal Nigam, a Government of Madhya Pradesh Undertaking (MPJN).

The said order encompasses for providing EPC Services including provision for laying of optical fiber cables on critical and important routes, for the execution of Multi - Village Drinking Water Supply Network in Sheopur district of Madhya Pradesh. This order is expected to boost the company's revenue and profitability, the release stated.

The aforesaid Project will be executed by the company in collaboration with Khilari Infrastructure as a consortium partner, the release further added.

Earlier this month, the Reliance Industries-backed firm has won an Rs 82.60 crore order from a domestic telecom service provider.

HFCL is a Gurugram-based company, primarily engaged in the business of design, development and manufacturing of telecommunications equipment, fibre-optic cables and other related electronics.

For the quarter ended June 2023, the company had posted a marginal growth in net profit at Rs 4.88 crore when compared with Rs 4.81 crore in the corresponding quarter a year ago. Total income was down 7.5 per cent year-on-year (YoY) at Rs 88.03 crore.