RKEC Projects

how big is RKEC Projects?

As of October 2023, RKEC Projects Ltd has a market capitalization of 185.00 Cr, classifying it as a Micro Cap company, with recent net sales of 421.92 Cr and a net profit of 20.04 Cr over the last four quarters.

Market Cap: RKEC Projects Ltd has a market capitalization of 185.00 Cr, categorizing it as a Micro Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters, which includes data from Mar'25, Dec'24, Sep'24, and Jun'24, is 421.92 Cr. The sum of Net Profit for the same quarters is 20.04 Cr. This data is Consolidated.<BR><BR>Balance Sheet Snapshot: This is Consolidated data for the latest annual period ending in Mar'24. Shareholder's Funds are reported at 168.65 Cr, while Total Assets amount to 466.11 Cr.

What does RKEC Projects do?

RKEC Projects Ltd is a micro-cap construction company based in Visakhapatnam, India, incorporated in 2005 and converted to a public company in 2016. As of March 2025, it reported net sales of ₹141 Cr and a net profit of ₹3 Cr, with a market cap of ₹200 Cr.

Overview:<BR>RKEC Projects Ltd is a construction company operating in the micro-cap market segment.<BR><BR>History:<BR>RKEC Projects Ltd was incorporated on April 01, 2005, originally as a Private Limited Company. It took over the business of "RK Engineers & Contractors" on April 01, 2006, and was later converted into a Public Limited Company, changing its name to "RKEC Projects Limited" on November 10, 2016. The most recent quarterly results reported net sales and profit for the period ending March 2025.<BR><BR>Financial Snapshot:<BR>- Net Sales: 141 Cr (Quarterly Results - Mar 2025)<BR>- Net Profit: 3 Cr (Quarterly Results - Mar 2025)<BR>- Market cap: Rs 200 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>- P/E: 9.00<BR>- Industry P/E: 34<BR>- Dividend Yield: 0.00%<BR>- Debt Equity: 0.79<BR>- Return on Equity: 10.62%<BR>- Price to Book: 0.98<BR><BR>Contact Details:<BR>- Address: Door No.10-12-1 Rednam Alcazar, Old Jail Road Rednam Gardens Visakhapatnam Andhra Pradesh : 530020<BR>- Tel: 91-891-2574517<BR>- Email: info@rkecprojects.com<BR>- Website: http://www.rkecprojects.com

When is the next results date for RKEC Projects?

No Upcoming Board Meetings

Has RKEC Projects declared dividend?

RKEC Projects Ltd has declared a 12% dividend, amounting to ₹1.2 per share, with an ex-date of September 16, 2021. Despite the dividend declaration, the dividend yield is 0%, and total returns over various periods show mixed performance, with significant gains over the long term.

RKEC Projects Ltd has declared a 12% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 12%<BR>- Amount per share: 1.2<BR>- Ex-date: 16 Sep 21<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the 6-month period, the price return was -16.36%, with a dividend return of 0%, resulting in a total return of -16.36%.<BR><BR>For the 1-year period, the price return was -6.35%, with a dividend return of 0%, leading to a total return of -6.35%.<BR><BR>Over the 2-year period, the price return was 49.69%, with a dividend return of 0%, giving a total return of 49.69%.<BR><BR>In the 3-year period, the price return was 89.53%, with a dividend return of 0%, resulting in a total return of 89.53%.<BR><BR>For the 4-year period, the price return was -2.63%, with a dividend return of 1.26%, leading to a total return of -1.37%.<BR><BR>In the 5-year period, the price return was 155.91%, with a dividend return of 2.75%, resulting in a total return of 158.66%.<BR><BR>Overall, RKEC Projects Ltd has declared a dividend, but the dividend yield remains at 0%. The total returns over various periods show a mix of negative and positive performance, with significant gains over the longer term despite recent declines in shorter periods.

Who are the peers of the RKEC Projects?

RKEC Projects' peers include Larsen & Toubro, Rail Vikas, Altius Telecom, NBCC, and others, with varying management and growth risks. NBCC leads in 1-year returns at 24.20%, while RKEC Projects has a return of 0.00%.

Peers: The peers of RKEC Projects are Larsen & Toubro, Rail Vikas, Altius Telecom, NBCC, IRB Infra.Devl., Modulex Const., Desco Infra., Sadbhav Infra., BCPL Railway, and Trom.<BR><BR>Quality Snapshot: Excellent management risk is observed at NBCC and Trom, while Good management risk is found at Larsen & Toubro. Average management risk is present at Rail Vikas, IRB Infra.Devl., and BCPL Railway, while Below Average management risk is noted at Altius Telecom and Desco Infra. Modulex Const. and Sadbhav Infra. do not qualify for management risk assessment. In terms of growth, Excellent growth is seen at Altius Telecom and Desco Infra., while Good growth is noted at NBCC. Average growth is found at Rail Vikas, while Below Average growth is observed at RKEC Projects, IRB Infra.Devl., and BCPL Railway. The Capital Structure is Excellent at NBCC, while Good is seen at Larsen & Toubro. Below Average capital structure is noted at Altius Telecom, IRB Infra.Devl., and BCPL Railway, with Modulex Const. and Sadbhav Infra. not qualifying.<BR><BR>Return Snapshot: The peer with the highest 1-year return is NBCC at 24.20%, while the lowest is IRB Infra.Devl. at -29.88%. RKEC Projects has a 1-year return of 0.00%, which is significantly lower than NBCC's return. Additionally, peers such as IRB Infra.Devl. and Sadbhav Infra. have negative six-month returns.

Is RKEC Projects overvalued or undervalued?

As of September 2, 2024, RKEC Projects is considered very attractive due to its undervalued status, with a PE ratio of 10.06, EV to EBITDA of 6.80, and a Price to Book Value of 1.07, alongside strong ROCE and ROE metrics, and recent outperformance against the Sensex.

As of 2 September 2024, RKEC Projects has moved from a grade of risky to very attractive, indicating a significant improvement in its valuation outlook. The company is currently undervalued, supported by a PE ratio of 10.06, an EV to EBITDA of 6.80, and a Price to Book Value of 1.07. These ratios suggest that the stock is trading at a discount compared to its earnings and asset values.<BR><BR>In comparison to its peers, RKEC Projects has a similar PE ratio of 10.06 and an EV to EBITDA of 6.80, which aligns closely with industry standards. Notably, the company's return on capital employed (ROCE) stands at 12.63% and return on equity (ROE) at 10.62%, indicating efficient use of capital. Additionally, RKEC Projects has outperformed the Sensex over the past week and month, with returns of 16.96% and 37.33%, respectively, reinforcing its attractive valuation proposition.

What is the technical trend for RKEC Projects?

As of April 15, 2025, RKEC Projects shows a mildly bearish technical trend, with mixed indicators including a mildly bullish weekly MACD and a mildly bearish monthly MACD, while daily moving averages and OBV also reflect a bearish outlook.

As of 15 April 2025, the technical trend for RKEC Projects has changed from bearish to mildly bearish. The weekly MACD indicates a mildly bullish stance, while the monthly MACD shows a mildly bearish trend. The Bollinger Bands are bullish on the weekly chart but mildly bearish on the monthly. Daily moving averages reflect a mildly bearish outlook. The KST is mildly bullish weekly but mildly bearish monthly, and both the weekly and monthly OBV are mildly bearish. Overall, the current technical stance is mildly bearish, with key indicators such as the daily moving averages and monthly MACD contributing to this assessment.

Who are in the management team of RKEC Projects?

As of March 2020, the management team of RKEC Projects includes Radhakrishna Garapati (Chairman & Managing Director), Parvathi Devi Garapati (Whole-time Director), and several independent and additional directors, overseeing the company's operations and strategy.

As of March 2020, the management team of RKEC Projects includes the following individuals:<BR><BR>1. Radhakrishna Garapati - Chairman & Managing Director<BR>2. Parvathi Devi Garapati - Whole-time Director<BR>3. Lucas Peter Thalakala - Independent Director<BR>4. Satish Soni - Independent Director<BR>5. Sita Ratnam Gudapati - Director<BR>6. J Kameswara Rao - Independent Director<BR>7. G V Rammohan - Whole-time Director<BR>8. Vijay Kumar Jannada - Company Secretary<BR>9. P R Kumar - Additional Director<BR><BR>This team is responsible for overseeing the operations and strategic direction of the company.

Who are the top shareholders of the RKEC Projects?

The top shareholder of RKEC Projects is Garapati Radhakrishna, holding 63.81% of the shares, with pledged promoter holdings at 78.95%. Institutional investors hold 0.3%, while individual investors collectively own 31.85%, and the highest public shareholder is Shamoil Plumber at 1.26%.

The top shareholders of RKEC Projects primarily consist of promoters, with Garapati Radhakrishna holding the largest share at 63.81%. The pledged promoter holdings are significant at 78.9497%. In terms of institutional investors, there are two Foreign Institutional Investors (FIIs) that collectively hold 0.3%. The highest public shareholder is Shamoil Plumber, who owns 1.26%. Additionally, individual investors hold a combined 31.85% of the shares.

How has been the historical performance of RKEC Projects?

RKEC Projects has shown consistent growth in net sales and profit, with net sales increasing from INR 207.87 crore in March 2021 to INR 421.92 crore in March 2025, and profit after tax rising from INR 7.12 crore to INR 20.04 crore during the same period, despite some fluctuations in cash flow. Total assets and liabilities have also grown significantly, indicating robust expansion.

Answer:<BR>The historical performance of RKEC Projects shows a consistent growth in net sales and profit over the years, with a notable increase in the most recent fiscal year.<BR><BR>Breakdown:<BR>RKEC Projects has demonstrated a steady increase in net sales from INR 207.87 crore in March 2021 to INR 421.92 crore in March 2025. This growth trajectory reflects a significant rise in total operating income, which reached INR 421.92 crore in March 2025, up from INR 210.72 crore in March 2022. The company's operating profit (PBDIT) also improved, rising from INR 26.39 crore in March 2022 to INR 58.32 crore in March 2025, although the operating profit margin has slightly decreased from 14.17% in March 2023 to 12.2% in March 2025. Profit before tax has shown a positive trend, increasing from INR 10.09 crore in March 2022 to INR 29.98 crore in March 2025, while profit after tax has also risen from INR 7.12 crore to INR 20.04 crore in the same period. The company's total assets grew from INR 365.98 crore in March 2022 to INR 580.71 crore in March 2025, indicating a robust expansion in its financial position. However, total liabilities also increased, from INR 365.98 crore to INR 580.71 crore, reflecting a rise in both long-term and short-term borrowings. Cash flow from operating activities has fluctuated, with a notable decrease to INR 4 crore in March 2025 from INR 24 crore in March 2024, contributing to a net cash outflow of INR 2 crore in the latest fiscal year. Overall, RKEC Projects has shown resilience and growth in its financial performance, despite some fluctuations in cash flow.

Are RKEC Projects Ltd latest results good or bad?

RKEC Projects Ltd's latest results are concerning, with a 72.56% year-on-year decline in net sales and a 79.30% drop in net profit, indicating significant financial stress despite a slight quarter-on-quarter revenue increase. The company faces operational challenges and rising costs, suggesting a precarious outlook.

The latest results for RKEC Projects Ltd are quite concerning. In the December 2025 quarter, the company experienced a dramatic decline in net sales, which fell by 72.56% year-on-year to ₹32.65 crores. This significant drop in revenue was accompanied by a net profit decrease of 79.30%, down to ₹1.71 crores from ₹8.26 crores in the same quarter last year. <BR><BR>While there was a slight quarter-on-quarter revenue increase of 5.22%, the lack of profit growth and the overall year-on-year performance indicate severe operational challenges. The company's operating margin did improve to 21.01%, reflecting some cost management success, but this was overshadowed by the collapse in sales and profitability.<BR><BR>Additionally, rising interest costs, which surged by 51.01%, and increasing working capital pressures further complicate the company's financial situation. With these indicators, RKEC Projects Ltd is facing significant financial stress, and the outlook appears precarious. Overall, the results can be characterized as bad, highlighting the urgent need for the company to address its operational and financial challenges.

Should I buy, sell or hold RKEC Projects Ltd?

Why is RKEC Projects Ltd falling/rising?

As of 04-Mar, RKEC Projects Ltd's stock price is declining, currently at Rs. 40.47, with a year-to-date drop of 24.89% and a 52-week low of Rs. 40.1. The company's weak financial health, marked by significant profit declines and high debt levels, contributes to its poor performance compared to the benchmark Sensex.

As of 04-Mar, RKEC Projects Ltd's stock price is falling, currently at Rs. 40.47, reflecting a decrease of Rs. 1.12 or 2.69%. This decline is evident in the stock's performance over various periods, with a year-to-date drop of 24.89% and a staggering 37.58% decrease over the past year. The stock has also reached a new 52-week low of Rs. 40.1 today.<BR><BR>Several factors contribute to this downward trend. The company's financial health appears weak, with a significant fall in operating profits of 55.83% and a return on capital employed (ROCE) at a low of 8.44%. Additionally, the company has reported negative results for the last five consecutive quarters, indicating persistent financial struggles. The negative sentiment is further exacerbated by a high debt-to-EBITDA ratio of 2.76 times, which suggests a low ability to service its debt.<BR><BR>Moreover, the stock's performance relative to the benchmark Sensex has been poor, with a 1-year return of -37.58% compared to the Sensex's gain of 10.86%. This underperformance is mirrored in the stock's trading below its moving averages across multiple time frames, indicating a bearish trend. Furthermore, 70.57% of promoter shares are pledged, which can add additional downward pressure in a falling market.<BR><BR>While there has been a rise in investor participation, as evidenced by a 327.6% increase in delivery volume on March 2, this does not seem to be enough to counteract the overall negative performance and outlook for RKEC Projects Ltd.

Which are the latest news on RKEC Projects?