Genus Power shares gain over 11% to hit 52-week high on big order win
Genus Power Infrastructures Ltd share price touched a new 52-week high and gained over 11% on Tuesday’s trade After receiving an order worth ₹2,207.53 crore on Monday. Genus Power Infrastructures shares opened at ₹145.75 apiece on BSE. The stock hit an intraday high of ₹149.65.
In a filing with the exchange, the company stated that it had received a letter of award for ₹2,207.53 crore for the appointment of Advanced Metering Infrastructure Service Provider (AMISP), which included design of AMI system with supply, installation, and commissioning of 27.69 lakhs smart prepaid metres, feeder metres, DT metre level energy accounting, and FMS of these 27.69 lakhs smart metres.
The company’s revenue projections for the next years are now more clear thanks to this order win. Additionally, it suggests a robust start to order inflow in FY24. In the upcoming quarters, the management expects a fast revenue rebound due to a strong order book, high order intake, and the return of normalcy in the supply chain.
Further, the company said that the ‘Reforms-Based, Result-Linked Power Distribution Sector Scheme’ is clearly having an impact because numerous State Electricity Boards (SEBs) have put out requests and requested bids for the installation of smart metres. The company anticipates a substantial increase in orders in the ensuing quarters of FY24.
“We are delighted to announce that our company has won a significant order worth Rs. 2,207 crore. This is a significant achievement for our company, and it is a testament to our commitment to providing innovative and reliable solutions to our customers. It also demonstrates the trust that our customers have in our ability to deliver high-quality products and services.
The implementation of the Revamped Distribution Sector Scheme (RDSS) is expected to have a radical impact on the Indian metering industry. The scheme will lead to a multifold increase in the annual size of the industry, as well as a transition from conventional to smart meters. This will allow for better operating margins for metering companies,” said Jitendra Kumar Agarwal, Joint Managing Director, Genus Power Infrastructures Ltd.
Further, today the company’s board is set to discuss the final dividend and the issuance of warrants.
On the technical front, the stock price rose 93.3% and outperformed its sector by 39.9% in the past year, as per trendlyne data.
“Recently,strong volume based upmove is seen in this counter, today as well there’s strong gap up opening, with price quoting more than 11% at the time of writing. The momentum remains positive however indicators are overbought hence currently there’s no actionbale trade at current levels however any dip back towards 134 would be buying zone whereas 155 is resistance,” said Rajesh Bhosale – Equity Technical and Derivative Analyst, Angel One.
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Updated: 04 Jul 2023, 09:45 AM IST