share market
During the trading session on Monday in the Indian stock market, there was a tremendous rise in the shares of a smallcap infrastructure company. Due to huge interest from buyers, shares of Hyderabad-based oil and gas pipeline infrastructure company, Likhitha Infrastructure Ltd, hit the upper circuit of 5 percent. The main reason for this rise is a big international order worth about Rs 510 crore (54 million US dollars) received by the company from Abu Dhabi. This stock has registered an excellent recovery of about 105 percent from its one-year low.
Big project received from Abu Dhabi, will be completed in 21 months
In the official information given to the domestic stock exchanges (NSE and BSE), the company said that it has received this big contract from China Petroleum Engineering and Construction Corporation (CPECC) Abu Dhabi. This international work order is related to the construction work of ‘Pipeline Package-1 (ASAB)’.
According to the terms of the project, this work will have to be completed within the next 21 months from the effective date of the Letter of Acceptance (LOA). Under strict corporate governance rules, the company has also clarified that this international deal does not involve any kind of related party transaction. Additionally, the promoter group of the company has no business interest or stake in the foreign firm placing the order.
Order book will be strong, benefit of entry into international market
This new order is not only big in terms of amount, but is also considered a strategic milestone for Likhita Infrastructure. Through this, the company is getting direct entry into the highly prestigious and large energy market of Abu Dhabi, which will help in winning other global tenders in future.
If we look at the current financial position of the company, its total order book by March 2026 was at a level of more than Rs 850 crore. Now, with the addition of this new foreign project, the company’s order book will get a big boost, which will strengthen its revenue visibility in the coming quarters.
How is the company’s business model, share performance
Likhita Infrastructure Limited, established in the year 1998, mainly provides its services in four major sectors.
- City Gas Distribution (CGD)
- Cross Country Pipeline (CCP)
- Operation and Maintenance (O&M)
- Tankage Construction
The company’s shares were listed in the Indian stock market in the year 2020. After this positive news on Monday, the company’s shares closed at the upper circuit of ₹ 270.48 with a gain of 5 percent. Currently, the total market cap of the company is around Rs 1,063 crore and it is trading at a PE multiple of around 27. In terms of returns, the stock has gained 11 percent in the last one week and more than 56 percent in the last three months, although in the last one year, the stock is still trading about 6 percent below its upper levels.
Financial results for FY 2026
Even though there is enthusiasm in the market about the future of the company due to new orders, there was some softening in the financial performance of the company during the last financial year (FY26) as compared to the previous year.
| Financial Indicators | Financial Year 2025 (FY25) | Financial Year 2026 (FY26) |
| Total Revenue | ₹520 crore | ₹457 crore |
| EBITDA | ₹96 crore | ₹57 crore |
| EBITDA Margin | 18% | 12% |
| Net Profit (Net Profit – PAT) | ₹69 crore | ₹39 crore |
| PAT Margin | 17.57% | 9.94% |
Disclaimer: This article is for information only and should not be considered as investment advice in any way. TV9 Bharatvarsha advises its readers and viewers to consult their financial advisors before taking any money-related decisions.
