Shriram EPC bounces back

Shriram EPC had been hitting new lows consistently for the past couple of days. Even yesterday, it had hit a new low at Rs.8 but today, it seems to have bounced back with all the vigor, going up over 18.5% to Rs.10.20 and continues to remain firmly in the green.

The company, one of India’s leading high—end engineering services company providing EPC & Turnkey solutions, announced that it has bagged three orders aggregating Rs. 291.57 crore from Drinking Water & Sanitation Department (DWSD), Government of Jharkhand.

The scope of work of this EPC order involves Detailed survey, design and drawing, Construction of RCC Intake well cum Pump House, supplying and laying Raw Water Rising main, supplying and installation of Centrifugal Pump Motor, VT Pump Motor, Construction of staff quarters and connections to rural houses in Alta, Purana Chaibasa, Tantnagar, Madhupur towns on turnkey basis.

The orders are to be executed within 36 months including 3 month trial run and 0&M services are to be undertaken for a further period of 5 years.

The company also declared its performance for Q3FY19, posting a 21% (YoY) rise in net sales at Rs.315 crore. Net profit came in at Rs.1.39 crore, down by a huge 91%. A 21% rise in total expenses is what pushed down the bottomline. Exceptional expense of Rs.8 crore also pulled down the profit.

EBITDA was down 33% at Rs.50 crore.