Shakti Pumps Share Price Soars After Securing Big Order from UP Government
š The end of the trading week on Friday saw a buzz in the share market, with some stocks hitting the upper circuit after providing multi-bagger returns in the past year. One such stock is Shakti Pumps Limited, which received a significant order from the agriculture department of the Yogi government in Uttar Pradesh.
š Following the news of the order, the company’s shares surged by 5% and hit the upper circuit at Rs 4,695.45 on the Bombay Stock Exchange (BSE). The company informed the stock market that it has received an order for pump supply under the PM-KUSUM scheme.
Details of the Order and Financial Performance
š° Shakti Pumps Limited secured an order worth Rs 558.16 crore from the UP government’s agriculture department. The company also informed the stock exchange that it has received letters of intent for the supply of 12,537 pumps across the state under Component-B of the scheme. The order is valid until March 31, 2025, and is related to the supply, installation, and operation of solar water pumping equipment.
š In its financial results announcement for the June 2024 quarter, Shakti Pumps reported a 41.7% year-on-year increase in revenue from operations. The company’s revenue for the quarter stood at Rs 567.6 crore, compared to Rs 113.1 crore in the same quarter of the previous financial year. The EBITDA on an annual basis increased by 237.8% to Rs 135.9 crore, with the EBITDA margin expanding from 7% to 23.9%.
š With the promoter holding 51.58% of shares, Shakti Pumps Limited is engaged in the manufacturing of solar stainless steel submersible pumps, pressure booster pumps, pump-motors, controllers, and inverters.
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