Rs 26.70 crore order book: Railway penny stock under Rs 50 jumps after securing order worth Rs 1.74 crore from South East Central Railway

Abha Power & Steel Limited (NSE Emerge: ABHAPOWER) has announced a new order win from South East Central Railway, valued at Rs 1.74 crore. This domestic contract, secured as of August 1, 2025, involves the supply of spares according to specified drawings and delivery schedules, with standard payment terms and applicable penalties for delays, subject to inspection and quality approval. This latest order contributes to the company's robust order book, which now stands at approximately Rs 26.70 crore, highlighting Abha Power & Steel's strong and growing presence in the Indian railway sector. The order is expected to be executed within 10 months from the date of the purchase order.

The continuous inflow of significant orders, as exemplified by this new contract, underscores Abha Power & Steel Limited's sustained focus on enhancing its market share and delivering value-driven solutions. This strong order pipeline is a testament to the company's commitment to operational excellence and innovation, enabling it to effectively meet the evolving needs of the railway infrastructure. Abha Power & Steel remains dedicated to strengthening its capabilities and expanding its footprint within this critical and dynamic industry segment, further solidifying its position as a key supplier in the railway sector.

About the Company

Abha Power and Steel Limited (APSL) manufactures a comprehensive range of standard and customised products for diverse industries like Indian Railways, steel, cement, heavy engineering, mining and power. Since its inception in 2004, APSL has grown to operate two foundries—SG iron and steel—within its ISO 9001:2015 certified 319,200 sq. ft. manufacturing facility in Bilaspur, Chhattisgarh. The company prioritises quality, safety, value and price competitiveness, fostering long-term relationships with customers in India and six other countries, including UAE, Germany and Canada. Their commitment to sustainability is evident in their 3 MW captive solar power plant, which not only reduces operating costs but also saves 3400 MT of CO2 emissions annually, aligning with their goal of becoming a green manufacturer of castings.

On Monday, shares of Abha Power and Steel Ltd jumped 9 per cent to Rs 46 per share from its previous closing of Rs 42.20 per share. The stock’s 52-week high is Rs 81.90 per share while its 52-week low is Rs 26.45 per share. The company has a market cap of Rs 80 crore with a PE of 15x, an ROE of 18 per cent and an ROCE of 18 per cent. The stock is up by 74 per cent from its 52-week low of Rs 26.45 per share.

Disclaimer: The article is for informational purposes only and not investment advice.