Smallcap stock jumps 8% after receiving ₹269 Cr order from North Western Railway

Synopsis: The shares of this construction stock are in action again by jumping 8% after it bagged an order worth Rs 269.69 crore, which is a subcontract for the Ajmer-Chanderiya Project. This is the second contract that the company received in the last two days, gaining almost 16%. 

The shares of this company, which is an engineering, procurement, and construction commissioning end-to-end solutions provider offering multi-disciplinary services, had its shares in the news following another order it bagged, making it two continuous order wins for the company for the second day. 

With a market cap of Rs 2,050 crore, the shares of SEPC Ltd jumped about 8% and reached their high at Rs 10.98 compared to their previous day closing price at Rs 10.19 and are trading at a PE of 38.4, whereas their industry PE is 18.9

About the order/subcontract

SEPC Limited has won a Rs 269.69 crore railway sub-contract for the Ajmer–Chanderiya Doubling Project under North Western Railway, adding a meaningful project to its order book. The contract has been awarded to the VPRPL–SBEL Joint Venture, with SEPC responsible for executing the work under the JV’s supervision, as per the Letter of Award issued by Indian Railways. This order further strengthens SEPC’s presence in India’s railway infrastructure space.

The project involves a wide range of on-ground execution work across the Mandpiya–Chanderiya section. SEPC will carry out civil and formation works, including earthworks, construction of major and minor bridges, roads under bridges, station buildings, platforms, permanent way track laying, ballast supply, and electrical works. The breadth of work highlights the company’s ability to handle complex, multidisciplinary railway projects from start to finish.

Strategically, the project is part of Indian Railways’ larger push to increase capacity and improve connectivity on key routes. For SEPC, it reinforces railways as an important growth area within its transportation infrastructure portfolio and aligns well with the ongoing government focus on rail modernisation and network expansion.

From a business perspective, the order brings better revenue visibility and supports steady growth across SEPC’s infrastructure verticals. Management has indicated that the win reflects client confidence in the company’s technical capabilities and execution strength. Along with SEPC’s improving financial performance in H1 FY26, this project positions the company well to benefit from continued infrastructure spending in India.

Financials and more

The revenue from operations is at Rs 237.42 crore in Q2 FY26 versus Rs 171 crore in Q2 FY25, which is a growth of about 39 percent. Similarly, the net profit has also increased from Rs 2.3 crore in Q2 FY25 to Rs 8.30 crore in Q2 FY26, which is a growth of about 260 percent. 

SEPC Limited works with a diverse and well-established set of customers, spanning government bodies, public sector undertakings, and large industrial groups, which reflects its ability to handle complex EPC and turnkey projects. Its client list includes major urban and water authorities such as the Ahmedabad Urban Development Corporation, Delhi Jal Board, Gujarat and Tamil Nadu Water Supply and Drainage Boards, and the Bengaluru Water Supply and Sewerage Board, highlighting a strong presence in municipal and water infrastructure. 

Alongside this, SEPC serves leading industrial and PSU clients like NMDC, Steel Authority of India, Tata Steel, Jindal Steel & Power, Vedanta Group, Grasim Industries (White Cement Division), Kochi Refineries, MECON, and Rashtriya Ispat Nigam Limited, as well as international customers including the Basra Governorate of Iraq, KonKola Copper Mines in Zambia, and MISCO of Oman. This broad customer base underscores SEPC’s credibility and execution capabilities across sectors and geographies.

SEPC Limited is an engineering solutions company that focuses on delivering end-to-end EPC and turnkey services, handling everything from design and engineering to procurement, construction, and project management. Incorporated in 2000 and headquartered in Chennai, the company works across key sectors such as process and metallurgy, power, water infrastructure, and mining and mineral processing. With its multidisciplinary engineering capabilities, SEPC aims to solve complex engineering challenges by offering integrated solutions tailored to large industrial and infrastructure projects.

Written by Leon Mendonca. 

Disclaimer

The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Smallcap stock jumps 8% after receiving ₹269 Cr order from North Western Railway appeared first on Trade Brains.