Rs 1,303 crore order book: Small-cap stock jumps after receiving orders of Rs 173 crore

DEE Development Engineers Limited (DDEL), a prominent Small-Cap player in the specialised engineering sector, saw its stock price surge following the announcement of multiple domestic and international orders totalling approximately Rs 173 crore. The company secured these contracts both directly and through its material subsidiary, DEE Piping Systems (Thailand) Co., Ltd. On the domestic front, the awards include a significant contract from Bharat Heavy Electricals Limited (BHEL) for the manufacturing of critical piping, as well as orders from other Indian power sector conglomerates for high-pressure piping solutions. These domestic projects are largely focused on "job work" models and are expected to be executed within a timeline of 6 to 12 months.

Beyond its Indian operations, the company's Thai subsidiary clinched a substantial international deal with a US-based Power Sector OEM. This contract involves the manufacturing and supply of Heat Recovery Steam Generator (HRSG) piping for 11 units, alongside fittings and flanges, with a combined value of roughly USD 9.5 million. While the domestic orders provide a steady near-term revenue stream, the international projects extend the company’s Order Book visibility significantly, with delivery schedules stretching through December 2027 and 2028. This diversified influx of orders underscores DDEL’s growing footprint in providing critical piping solutions for the global energy infrastructure market.

About the Company

Dee Development Engineers Limited (DDEL) is a global leader in specialised process piping solutions, catering to sectors like oil and gas, power (including nuclear), chemicals, and other process industries. Offering a comprehensive service from design to manufacturing, DDEL produces a wide range of piping products including high-pressure systems and custom components. As India's largest player in this domain by installed capacity, the company has a strong international footprint, generating over half its revenue from markets like Canada, Thailand, and the USA.

DEE Development Engineers delivered stellar performance in Q3FY26, characterised by a 77 per cent YoY revenue surge to Rs 286.7 crore, fueled by robust execution in the piping and fittings segment. Operating EBITDA witnessed an extraordinary leap of 666.4 per cent YoY to reach Rs 43.40 crore, benefiting from significant operating leverage and enhanced capacity utilisation.

While the company recorded a PAT of Rs 18.6 crore, its core business margins remained resilient at 18.04 per cent after adjusting for one-time labour code impacts and non-core losses. With a healthy closing order book of Rs 1,302.73 crore and fresh inflows of Rs 251 crore from the power sector, the company maintains a strong growth trajectory backed by sustained demand in the oil and gas industries. The stock is up by 50 per cent from its 52-week low of Rs 178 per share.

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