Smallcap Stock Jumps 11% After Securing Exclusive Outdoor Advertising Rights from Kolkata Govt

Synopsis: An advertising stock catering to clients such as Netflix, TVS, Sony, and NPCI jumped 11 percent after securing 10-year exclusive outdoor advertising rights from Kolkata Municipal Corporation for premium city stretches.

A small-cap stock engaged in out-of-home advertising and transit media surged 11 percent after winning exclusive outdoor advertising rights in Kolkata under a PPP project covering key premium city locations. The company in context has seen its revenue jump by 200 percent on a YoY basis. With a market cap of more than Rs 1,300 Cr, Signpost India Ltd saw its stock hit an intraday high of Rs 267.8, which is 11 percent higher than the previous close of Rs 242. 

What’s the News?

Signpost India Limited has received exclusive outdoor advertising rights from Kolkata Municipal Corporation under the “Kolkata Streetscape Renaissance” project. The rights cover key stretches including Park Street, Camac Street, Theatre Road, and Park-o-Mat. The project has been awarded through the Public-Private Partnership, or PPP mode for premium city locations.

The contract tenure is 10 years, extendable by two additional years. The company will pay an annual fixed revenue of Rs  16.38 crore to the authority, with a 5 percent escalation every three years. 

The total projected revenue to the authority, and is estimated to exceed Rs  250 crore during the concession period. The gross advertising revenue potential for the company from the project is approximately Rs  450 crore over the concession tenure. 

In Q3FY26, Signpost India Ltd reported a revenue split of 58 percent from Transit Media, 24 percent from Digital OOH, and 18 percent from Conventional OOH and Static Media segments during the quarter period.

Signpost India Ltd is an Indian media and advertising technology company specializing in out-of-home (OOH) solutions, including digital billboards, transit media, and smart city platforms powered by data analytics. Key projects include Iconic Digital Bus Shelter BKC, Volvo buses in Bangalore, Switch double-decker Mumbai, and Mumbai Metro storyboard.

Its marquee clients include BigBasket, Bajaj Finserv, SBI Card, Hyundai Motor India, Patanjali Ayurved, Netflix, Motilal Oswal Financial Services, DMart, Sony, and Amul, showcasing strong cross-industry presence and nationwide brand engagement across major Indian markets.

In the latest quarter the company saw a YoY revenue growth of 27 percent, going from Rs 112 Cr in Q3FY25 to Rs 142 Cr in Q3FY26, while the QoQ went up by 6 percent from Rs 134 Cr in Q2FY26. The YoY Net Profits growth is at 200 percent, going from Rs 6 Cr in Q3FY25 to Rs 18 Cr in Q3FY26, while the QoQ growth stood at 12.5 percent from Rs 16 Cr in Q2FY26.

As of Q3FY26, the EBITDA margins are at 26.6 percent, which is a growth of more than 1000 bps from last year’s 16.4 percent. The company also has an ROCE of 15 percent and an ROE of 17 percent.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Smallcap Stock Jumps 11% After Securing Exclusive Outdoor Advertising Rights from Kolkata Govt appeared first on Trade Brains.