Now Reading: Om Infra net profit jumps 11.5%, shares rise over 3%
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Om Infra net profit jumps 11.5%, shares rise over 3%
Om Infra shares rose over 3% on Wednesday despite a weak market, after the company reported a Q1 FY27 net profit of Rs 11.82 crore, up 11.5% year-on-year from Rs 10.60 crore.…
The Story in Brief
Om Infra shares rose over 3% on Wednesday despite a weak market, after the company reported a Q1 FY27 net profit of Rs 11.82 crore, up 11.5% year-on-year from Rs 10.60 crore. Sales revenue grew 19.2% to Rs 123.37 crore. Operating profit margin improved sharply to 8.15% from 0.60% a year earlier.
The small-cap infrastructure firm, with a market cap of Rs 857 crore, has emerged as the lowest bidder (L1) for two water projects in Chhattisgarh and Rajasthan worth about Rs 1,050 crore. Managing Director Vikas Kothari said revenue and profit growth should stay strong this year, but converting the pipeline into firm orders will be key.
The Indian Opinion
Stock market stories often paint a picture of smooth sailing after one good quarterly number. Om Infra's margin jump from near-zero to 8% is encouraging, but the real test is whether it can execute Rs 1,050 crore worth of L1 projects on time. One quarter does not make a trend. Will the next quarter show similar operating leverage, or was this a one-off base effect?
Sources (2): livemint.com, livemint.com (2)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
