Infra Stock jumps 10% After Securing ₹7,544 Cr European Railway Project 

Synopsis: Infrastructure company received selection intimation for a landmark European railway project, marking its entry into Europe and strengthening its international infrastructure presence through a large-scale rail modernization contract.

The shares of this small cap company majorly engaged in infrastructure engineering and construction jumped upto 10  percent after securing a large order for a Railway Project in Europe. 

With the market capitalization of Rs. 12420 Crores, the shares of Afcons Infrastructure Ltd reached an intraday high of Rs. 358 per share rising nearly 10 percent from its previous day close of Rs. 326 per share and is trading at a P/E of 21 whereas industry P/E stands at 18.4

What is the News: 

Afcons Infrastructure Ltd has announced that it has received intimation from the client regarding its selection as the most suitable bidder for a major railway rehabilitation and construction project in Europe. The project is significant for the company as it marks Afcons’ entry into the European infrastructure market and also becomes its largest international order to date.

The contract is valued at EUR. 677.07 million excluding taxes, which is approximately Rs. 7,544 crore. According to the company, the project involves reconstruction of the existing railway track along with the construction of a second railway line. Apart from core civil construction work, the scope also includes overhead electrification, signalling systems, and telecommunication infrastructure, making it a comprehensive railway modernization project.

Executive Chairman Mr. Krishnamurthy Subramanian said the achievement represents an important milestone in Afcons’ global expansion journey. He stated that the order reflects the company’s capability to execute complex and large-scale infrastructure projects across different geographies. He further added that the company is proud to contribute to the modernization of a railway network in a European country and believes the project strengthens Afcons’ position as a trusted international infrastructure partner.

About the Company and Financials: 

Afcons Infrastructure Ltd is the flagship infrastructure engineering and construction company of the Shapoorji Pallonji Group, with a legacy spanning more than six decades. The company has built a strong track record in executing technologically complex EPC projects across India and international markets.

According to the latest ENR survey, Afcons ranks among the Top 140 international contractors globally, while securing the 12th position in Bridges and 8th position in Marine & Ports. The company reported an order book of ₹31,543 crore as of December 2025, reflecting its strong project pipeline and execution capabilities.

Year on Year analysis: Revenue from operations has decreased from Rs. 3205 Crores to Rs. 2974 Crores, down 7.2 percent. Operating profit has increased from Rs. 384 Crores to Rs. 423 Crores, up 10 percent and net profit has decreased from Rs. 167 Crores to Rs. 105 Crores, down 37 percent 

Quarter on Quarter analysis: Revenue from operations has decreased from Rs. 2988 Crores to Rs. 2974 Crores, down 0.4 percent. Operating profit has increased from Rs. 338 Crores to Rs. 423 Crores, up 25 percent and net profit has decreased from Rs. 112 Crores to Rs. 105 Crores, down 6.25 percent. 

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