Praj Inds blends into green

Praj Industries is in the limelight today. The stock is currently up 5% at Rs.75.40, which is just a tad away from its 52-week high of Rs.79.15.

The company announced yesterday that it has secured a Rs.235 order for Oil and gas process skids for a Petrobas project in Brazil. This opens the door for the company’s Critical Process Equipment Systems (CPES) business in Latin America. It is already established there in the ethanol business.

On the financial performance front, for Q2FY15, the company posted a 36% rise in consolidated net sales at Rs.265 crore and a tax write back of Rs.11 crore, helped the company end the quarter with a net profit at Rs.25 crore, up over 6 times on YoY. The company is low debt at less than Rs.60 crore borrowings, reserves stands at Rs.572 crore and cash has gone up significantly from Rs.57 crore to Rs.127 crore.