This Small-cap Company Just Landed another Contract worth Rs 105.08 crore; Stock Gave Highest Returns of 97 per cent since it was listed in October 2024

The share price of EMS Ltd soared by 7.28 per cent on Thursday as the company was awarded a significant contract for the Development, Operation, and Maintenance of the Multimodal Logistics Park (MMLP) at Nagpur. This project, part of the Government of India's PM Gati Shakti National Master Plan for integrated infrastructure connectivity, has been commissioned by Deltabulk Shipping India Pvt Ltd through its special purpose vehicle, M/s DC Multi-Modal Park (Nagpur) Limited.

The contract, valued at Rs 105.08 crore (excluding GST), will be executed under a Public-Private Partnership (PPP) model on a Design, Build, Finance, Operate, and Transfer (DBFOT) basis. EMS Limited is expected to complete the project within 8 months.

The Multimodal Logistics Park is set to enhance transportation efficiency and infrastructure connectivity in Sindi, Wardha District, Maharashtra. This initiative aligns with the objectives of the PM Gati Shakti framework, aimed at coordinated infrastructure development across the nation.

Earlier the company had received Letter of Acceptance for (I) Design and build sewage treatment plants of installed capacity 120, 40 & 35 MLD and all appurtenant structures and allied works. (II) Survey, review the designs, re-design where necessary, and build new diversion works with interception sewer of required length. including survey, design, construction of 03 no. pumping station and all appurtenant structures and allied works. (III) O&M of the complete works of Sewage treatment plants, Interception & diversion Works, pumping stations and all allied works for a period of 15 years on DBOT basis for Indore city, district Indore, state of MP, under National Mission for Clean Ganga.

Order book value of Rs 416.46 crore wherein EMS limited is has 26 per cent share with the Other JV Partner.

EMS Limited specialises in providing turnkey services in water and wastewater collection, treatment and disposal. EMS provides complete, single-source services from engineering and design to construction and installation of water, wastewater and domestic waste treatment facilities.

As per the con-call of November, current unexecuted order book is approximately Rs 2,345 crores, including Rs 170 crores in operation and maintenance contracts. The stock has an ROE of 22.9 per cent and an ROCE of 29.8 per cent. The stock has given 97 per cent returns since it was listed in October 2024. The company has a dividend yield of 0.24 per cent.

Investors should keep an eye on this Small-Cap stock.

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