Patel Engineering stock tanks 5% as topline, Ebitda fall in Q1FY25

Shares of Patel Engineering surged up to 4.56 per cent at Rs 53.09 a piece on the BSE in Tuesday’s intraday deals. The stock price tanked after the company on Monday reported its April-June quarter of financial year 2024-25 (Q1FY25).

Patel Engineering reported its Q1FY25 results with a 25.8 per cent increase in net profit, rising to Rs 48.2 crore compared to Rs 38.3 crore in the same period last year. However, revenue decreased by 1.5 per cent year-on-year, totaling Rs 1,101.7 crore, down from Rs 1,118.6 crore.

Earnings before interest, taxes, depreciation, and amortisation (Ebitda) also saw a decline of 1.7 per cent, standing at Rs 167.7 crore versus Rs 170.6 crore in the same quarter of the previous year. The Ebitda margin remained relatively stable at 15.2 per cent, compared to 15.3 per cent in the same period last year.

The company’s total order book stood at Rs 17,901 crore as on 30 June, 2024. Out of this 61.53 per cent is contributed by the Hydroelectric segment, while 21.99 per cent by the irrigation segment, the company said in an exchange filing. 

The company has around 50 ongoing projects across 15 states domestically and an international presence in Nepal, the company said. Currently in India 18,000 megawatts (MW) of Hydropower is under execution out of which company is involved in construction of 8,000 MW, it added. 

The copper firm has a total market capitalisation of Rs 4,538.52 crore. The company is presently trading at a price to earnings multiple of 16.45 times, while trading at an earning per share (EPS) of Rs 3.38.

The share price of the company has dropped 17.41 per cent year to date, while it has gained 6.2 per cent in the last one year

At 01:52 PM; the stock price of the company was trading 3.51 per cent lower at Rs 314.75 per share on the BSE. By comparison the BSE Sensex slipped by 0.66 per cent at 79,124 levels.

Patel Engineering Limited, established in 1949 and headquartered in Mumbai, operates in the civil engineering construction sector. The company has undertaken various heavy civil engineering projects, including dams, bridges, tunnels, roads, piling works, and industrial structures. 

It has a presence in technology-intensive areas such as hydro, tunnelling, irrigation, water supply, urban infrastructure, and transport. Patel Engineering Limited has completed over 250 projects and is noted for its work in the hydro power and tunnelling segments, contributing to several significant projects in India.