Microcap stock jumps 3% after receiving ₹47.74 Cr order for building project in Mumbai

Synopsis:
Mason Infratech Limited jumped upto 3% upon securing a ₹ 47.74-crore EPC contract from Milestone Projects and Developers for constructing the NOOR RESIDENCY project in Mumbai.

The shares of the Micro-Cap company, specializing in providing Engineering, Procurement, and Construction (EPC) services for residential and commercial buildings, including high-rise and lifestyle structures, jumped upto 3 percent upon receiving a work order worth Rs. 47.74 Crores.

With a market capitalization of 461.00 Crores on Thursday, the shares of Mason Infratech Limited jumped upto 0.58 percent, making a high of Rs. 205.55 compared to its previous closing price of Rs. 212.00. 

What Happened 

Mason Infratech Limited, engaged in providing Engineering, Procurement, and Construction (EPC) services for residential and commercial buildings, including high-rise and lifestyle structures, has received an order worth approximately Rs. 47.74 crores (excluding taxes) from Milestone Projects and Developers Private Limited.

The order is for the construction of a proposed building project named NOOR RESIDENCY at Kurla East, Mumbai. The project involves constructing a Ground + 16-storey structure, subject to changes based on authority approvals, and is expected to be completed within 30 months from the date of excavation. 

Milestone Projects and Developers Pvt. Ltd. is a domestic entity, and Mason Infratech holds a 30% equity stake in it; however, the company confirmed that the order has been awarded on an arm’s-length basis.

Financials & Others

The company’s revenue rose by 40.5 percent from Rs. 37 crores to Rs. 52 crores in Q2FY25-26. Meanwhile, Net profit rose from Rs. 5 crores to Rs. 8 crores during the same period.

The company demonstrates strong profitability metrics, with a ROCE of 33.7% and a ROE of 38.4%, indicating efficient use of capital and strong returns for shareholders. These figures suggest robust operational performance and effective management of resources.

Despite operating in an industry with a P/E ratio of 35.4, the stock trades at a comparatively lower P/E of 23.1, which may indicate undervaluation. Additionally, a debt-to-equity ratio of 0.35 reflects a healthy balance sheet with manageable leverage.

Mason Infrastructure, founded in February 2020 as a dynamic partnership firm, quickly evolved into Mason Infratech in April 2023, marking its emergence as a leading Engineering, Procurement, and Construction (EPC) powerhouse in India, specialising in civil contracting work. This transformation into a listed entity has significantly strengthened our standing in the industry, enabling us to excel in residential and commercial projects.

The company’s core business spans residential, commercial, and industrial construction, delivering high-quality builds tailored to clients’ needs. It also specialises in civil contracting, providing essential infrastructure works such as earthworks, drainage, roadworks, and structural foundations. Together, these capabilities allow us to offer end-to-end construction solutions across diverse sectors.

Written by Sridhar J 

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