Multibagger Railway Kavach Company Bags New Order Worth Rs 145,83,00,000 from Western Railway
The stock gave multibagger returns of 500 per cent in 3 years and a whopping 3,700 per cent in 5 years.
HBL Engineering Limited, previously known as HBL Power Systems Limited, has secured a significant contract from Western Railway for the provision of Kavach, an automatic train protection system, across 48 stations spanning 428 kilometres. This domestic contract, valued at Rs 145.83 crore (inclusive of 18 per cent GST), entails the implementation of Kavach within a 730-day timeframe, marking a substantial development for HBL Engineering in the railway signalling and safety domain.
Earlier, the company had been awarded five significant contracts by the Central Railway for the provision of the Kavach system. The total value of these contracts, inclusive of 18 per cent GST, amounts to Rs 762.56 crore. The contracts cover 413 stations and span 3,900 kilometres, with each contract expected to be completed within 18 months.
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About the Company
HBL Engineering Ltd., established in 1983, has cemented its position as a leading innovator in the power systems industry, achieving significant global market share, notably holding the second position in industrial nickel batteries and the third in India's VRLA lead batteries, while uniquely manufacturing PLT lead batteries in the nation. The company's diversified portfolio spans industrial batteries, powering sectors like telecom and oil and gas, with products utilised in Vande Bharat trains and by global entities such as Siemens and Hitachi. Further, their defence and aviation segment provides critical power solutions for military applications, and the electronics division develops cutting-edge technologies like TCAS and TMS, alongside their push into electric mobility with drive trains for heavy-duty trucks, demonstrating a commitment to both technological advancement and sustainable solutions.
The company has a market cap of over Rs 13,000 crore and has delivered a good profit growth of 66.1 per cent CAGR over the last 5 years. The stock gave multibagger returns of 500 per cent in 3 years and a whopping 3,700 per cent in 5 years. Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.