Shares of GR Infraprojects experienced a significant boost, climbing nearly 11% to reach Rs 1,042.15 on the National Stock Exchange. This impressive surge was triggered by the announcement that the small-cap firm received a Letter of Acceptance worth Rs 4,262.78 crore from the National Highway Authority of India.
Major Development: National Highway Project
In an official statement, GR Infraprojects expressed its excitement over the recent contract, stating, “We are thrilled to announce that our company has been awarded a Letter of Acceptance dated March 18, 2025, from the National Highways Authority of India (under the Ministry of Road, Transport & Highways).”
This contract pertains to the Agra-Gwalior Greenfield Road project, which involves the construction of a 6-lane, access-controlled highway spanning from design km 0+000 near Deori village in Agra district to design km 88+400 near Susera village in Gwalior district. The project is set to be completed within 30 months from the date of acceptance.
Q3 Financial Overview
For the third quarter of FY25, GR Infraprojects reported a 7.8% increase in consolidated net profit, amounting to Rs 261.7 crore, compared to Rs 242.7 crore during the same period last year. However, the company’s revenue from operations witnessed a decline of 20.6% year-on-year, falling to Rs 1,694.5 crore from Rs 2,134 crore in Q3 FY24. Additionally, the EBITDA for Q3 FY25 dropped 27.1%, registering at Rs 369.8 crore, down from Rs 507.6 crore in the previous year.
Stock Performance Insights
Over the last five trading days, GR Infraprojects’ shares have appreciated by 7.4%. However, the stock has faced challenges, declining 2.3% in the past month and erasing over 36% of its value in the last six months. Year-over-year, the stock price has decreased by 18%, raising concerns among investors.
Looking Forward
As GR Infraprojects embarks on this ambitious highway project, stakeholders are keenly watching how the company navigates its financial hurdles and capitalizes on new opportunities. With a robust order pipeline and strategic initiatives, the next few quarters could prove pivotal for the company’s growth trajectory.
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