Shares of IRB Infrastructure Developers Ltd. gained over 2 percent in intraday trade on Monday after the company announced that it has received a Letter of Award (LoA) from the National Highways Authority of India (NHAI) for a Rs 2,132 crore project.
The contract pertains to the upgradation of a six-lane with paved shoulder of the NH-27 from Samakhiyali to Santalpur section from km. 339+200 to km. 430+100 in the State of Gujarat on BOT (Toll) mode.
IRB Infra has received the contract for a concession period of 20 years from the appointed date including two years of construction.
The NHAI will have a revenue share of 42.84 percent of the realisable fee from the project from the second year after the completion date of the project. It shall increase by one percent of the realisable fee every subsequent year for the remaining concession period.
After receiving this contract, the company’s total order book now stands at about Rs 20,892 crore, which includes its construction order book worth Rs 9,714 crores for the next 2-5 years.
IRB group’s asset base after this contract will rise to over Rs 62,000 crore spread in 10 states across the parent company and two InvITs. The company’s project portfolio will now have 23 road projects including 18 Build-Operate-Transfer (BOT), one Toll-Operate-Transfer (TOT), and four Hybrid Annuity Model (HAM) projects.
IRB Infrastructure Developers recorded a net profit of Rs 141 crore for the December quarter, a 94 percent growth year-on-year as against Rs 73 crore in the previous corresponding quarter. During the quarter, its total income rose five percent year-on-year to Rs 1,570 crore from Rs 1,498 crore.
Shares of IRB Infrastructure Developers Ltd. are trading 3.57 percent higher at Rs 29.
