Now Reading: SPML Infra shares jump 2.3% as net profit surges 87% in Q1
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SPML Infra shares jump 2.3% as net profit surges 87% in Q1
SPML Infra shares rose 2.3% to Rs 191 on Friday after reporting an 87% year-on-year jump in net profit to Rs 22.7 crore for the June quarter. Revenue grew 74% to Rs…
The Story in Brief
SPML Infra shares rose 2.3% to Rs 191 on Friday after reporting an 87% year-on-year jump in net profit to Rs 22.7 crore for the June quarter. Revenue grew 74% to Rs 286 crore, while EBITDA rose 81% to Rs 28.3 crore, with margin improving to 9.9% from 9.5%. The company's order book stands at Rs 5,094 crore, including Rs 1,251 crore in legacy projects.
Vijay Kedia, through his brokerage firm Kedia Securities, holds a 1.77% stake in the company. SPML Infra is the lowest bidder for projects worth Rs 265 crore and is progressing on its 2.5 GWh battery storage facility in Pune, targeting first billing in Q4 pending approvals. The company has maintained its guidance of at least 25% growth through FY27.
The Indian Opinion
The celebratory coverage of SPML Infra's results, driven by a 1.77% stake from celebrity investor Vijay Kedia, risks fuelling a herd mentality among retail investors. While the 74% revenue jump and an order book of Rs 5,094 crore are genuine positives, the real test lies in the 10% margin target on newer projects and the battery storage facility's Q4 billing date. Claims of a 'sustainable 25% growth' remain just guidance until the next two quarters' cash flow statements confirm that execution is matching the order wins.
Source: livemint.com
This story was synthesised by AI from the source linked above.
