IL&FS Engineering & Construction Company shines on bagging REC order

IL&FS Engineering & Construction Company (IL&FS ECC) has emerged as the lowest bidder for Rural Electrification Corporation (REC) works worth Rs 225 crore crore in Jharkhand. The company has received orders from Jharkhand Bijli Vitran Nigam (JBVNL), Ranchi in package of Sahibganj comprising Sahibganj and Pakur districts under Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY).  The DDUGJY–RE contracts are being funded by REC.

The completion schedule of the works is 24 months. The company is already involved in rural electrification works in the states of West Bengal, Rajasthan, Orissa, and Uttar Pradesh.

On the financial front, ILFS’ revenue increased 1.36 per cent to Rs 357 crore in Q2FY17 as compared to same period in previous financial year. The company posted EBITDA loss of Rs 9.31 crore in Q2FY17 as against EBITDA loss of Rs 15.1 crore in Q2FY16. Its net loss stood at Rs 80.67 crore in Q2FY17 as compared with the net loss of Rs 81.87 crore in Q2FY16.

The share price of the company increased 2.14 per cent on the bourses in early trades and is trading at Rs 44.5 on intra-day basis.