10% Upper Circuit: Infra stock receives ₹262 Cr order from North Western Railways

Synopsis: The shares of the company opened at the upper circuit of 10 percent after it announced receipt of a work order worth Rs 262 crore from North Western Railways.

The shares of the company, which offers end-to-end project execution across water, railways, roads and civil works supported by a strong equipment fleet and internationally recognised quality, are in focus upon receipt of a work order from the Indian Railways.

With a market capitalization of Rs 95.33 crore, K2 Infragen Ltd’s shares on Friday made a day high of Rs 75.55 per share, up by 10 percent from its previous day’s close price of Rs 68.7 per share. The shares trade at a P/E of 6.55, below the industry P/E of 18.6x, indicating undervaluation.

Significant Order

The company, through its joint venture, secured a work order value of Rs 262 crore, where K2 Infragen is the lead and the majority partner. The order is given by North Western Railways, which is to be completed within 36 months.

The order involves end-to-end execution of a railway traction power project, covering design, supply, installation, testing, and commissioning of 2×25 kV AC traction substations, along with sectioning and sub-sectioning posts and a SCADA system, across the Luni–Bhildi double-line section of the Jodhpur Division under North Western Railway.

This will add to the robust order book of Rs 143 crore and Rs 452.5 crore under execution as of Q2 FY26. The sectoral breakup of the order book is 64.28 percent from Roads, 18.32 percent from Power, 10.28 percent from water supply, and the remaining contribution from Railways and Civil Work Projects.

Incorporated in 2015, K2 is an integrated EPC company with a pan-India presence,  offers services that span the entire project value chain, including design, procurement, construction supervision, subcontract management, work order management, and post-construction support. 

The company has 3 ISO certifications in management systems and a fleet of 64 machines in its portfolio , including tippers, excavators, backhoe loaders, and campers etc., which support daily operations and significantly enhance work efficiency across EPC projects.

Financial highlights: revenue from operations grew by 78.4 percent to Rs 91 crore, corresponding to the same half-yearly result last year. Accompanied by Net profit growth of 75 percent YoY to Rs 7 crore in H1 FY26 and EPS growth of 70.5 percent YoY to Rs 5.80 per share in H1 FY26.

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