| Market Cap | ₹842.26 CrSmall Cap |
|---|---|
| Revenue TTM | ₹471.54 CrOperating Revenue |
| RSI | 53.65Neutral Zone |
| Order from | M/s. Hindustan Petroleum Corporation Limited |
| Execution period | 12 months |
| Deal value | ₹72.15 Cr |
| Share of market cap | 8.6% |
| Share of annual revenue | 15.3% |
Key highlights
- Order value totaling ₹72.15 Crores excluding GST from Hindustan Petroleum Corporation Limited
- Scope involves laying cross-country pipelines and constructing associated facilities
- Project execution timeline set at 12 months from the date of the award
- Company maintains a strong 70.25 percent promoter holding with no interest in the awarding entity
- Strategic win reinforces the company position in the midstream oil and gas infrastructure segment
Project Details and Scope
Likhitha Infrastructure Limited has officially secured a new work order from Hindustan Petroleum Corporation Limited (HPCL) valued at ₹72.15 crore, excluding GST. The contract, designated as Pipeline Laying Works-SCH B, involves the comprehensive laying of a cross-country pipeline along with all necessary associated facilities. This project is classified as a domestic entity contract and is scheduled for completion within a 12-month timeframe.
The award of this contract directly supports the company's core operational strengths in executing critical energy infrastructure projects for major public sector undertakings in the Indian oil and gas landscape.
Financial Performance and Valuation
The financial profile of Likhitha Infrastructure demonstrates robust operational efficiency with a Return on Equity of 18.58 percent and a Return on Assets of 16.28 percent. While quarterly net profits showed a year-on-year decline in the most recent results, the company maintains a high promoter holding of 70.25 percent. Current valuation metrics show a Price-to-Earnings ratio of 16.13, which remains significantly lower than the industry average of 32.31.
This new ₹72.15 crore order provides further revenue visibility for the upcoming fiscal year, complementing the annual operating revenue of ₹520.09 crore reported previously.
Industry Context and Strategic Position
India's infrastructure sector, particularly in oil and gas distribution, is benefiting from a nationwide push to expand the gas grid. As a specialist in pipeline laying and city gas distribution, Likhitha Infrastructure is positioned to benefit from increased capital expenditure by state-owned enterprises like HPCL. The industry landscape is characterized by high technical entry barriers and rigorous safety standards, where established players with proven execution records hold a distinct advantage.
Current technical indicators show the stock trading above its 30-day and 50-day Simple Moving Averages, indicating positive mid-term price action following recent order wins.
| Share price | ₹213.5 |
|---|---|
| Market capitalisation | ₹842.26 Cr |
| Revenue (annual) | ₹520.09 Cr |
| Net profit (annual) | ₹69.33 Cr |
| Revenue (latest quarter) | ₹111.40 Cr+8.96% vs previous quarter |
| Net profit (latest quarter) | ₹9.26 Cr-19.65% vs previous quarter |
| P/E (TTM) | 16.13×Sector 35.88× |
| Promoter holding | 70.25%0.00% QoQ |
| FII holding | 0.1%Current quarter |
Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.
Exchange filing by Likhitha Infrastructure Limited announcing a new work order from HPCL. Market figures from a third-party data provider.
