A very big and positive news is coming for the investors who are continuously active in the stock market. NBCC (India) Limited, a prestigious Navratna company owned by the government, has received a very big and important work order from the Indo-Tibetan Border Police i.e. ITBP. After receiving this new order, investors are keeping a close eye on the company's shares. Currently the share price of this company is trading less than Rs 100 i.e. around Rs 92, which makes it quite attractive for small and medium investors. For this government company, which has been continuously maintaining its strong hold in the infrastructure sector for some time, this contract can prove to be a huge milestone in the direction of business expansion.
Responsibility for development of 28 border out posts in Ladakh
The total financial value of this new and huge project received by Navratna company NBCC is estimated to be around Rs 234.78 crore. Under this contract, the company will undertake the construction and redevelopment of modern infrastructure at a total of 28 Border Out Posts (BOPs) of ITBP in the strategically sensitive area of Ladakh. NBCC will provide its exclusive Comprehensive Project Management Consultancy Services (PMC) for all these proposed construction and redevelopment projects. With the award of this important project related to the country's security, it is expected that the credibility and financial strength of the company will further increase, which will also pave the way for getting other big government contracts in the future.
Excellent financial results and growing profits
According to the data for the first quarter of the current financial year recently released by the company, NBCC India has performed brilliantly and registered a strong consolidated profit of Rs 154.8 crore. The special thing is that compared to the same period of the last financial year, the company's profit has registered an impressive growth of 17.2 percent, and this jump has come when there was a slight decline in the total revenue of the company. The operating performance of the company during this period has been very good, under which the company's EBITDA has seen a strong jump of 39 percent to Rs 155 crore, whereas it was Rs 111.5 crore a year ago.
History of Bonus Shares and Stock Splits
NBCC (India) is known for making its investors rich time and again and this Navratna company has already given a big gift of bonus shares to its shareholders twice in its history. The company first distributed bonus shares in the ratio of 1:2 in February 2017, under which one share was given free for every two shares. After this, giving a second gift to the investors, the company had issued bonus shares in the ratio of 1:2 in October 2024 also. Apart from this, the company has also done stock split of its shares, in which the shares were divided into 5 pieces in June 2016 and into 2 pieces in April 2018. Although this year has seen some ups and downs in the shares, but for long-term investors, this stock has surprised everyone by giving a tremendous multibagger return of about 197 percent in the last five years.