245% Returns, 1:10 Split, 0.27% Yield: Smallcap Infra Stock Below Rs 200, Grabs Attention Of MFs; Q1 Strong

With a smallcap status, Om Infra, a leading infrastructure company, is a multi-bagger and has grabbed mutual funds' love in the June 2024 quarter. This also follows yet another strong quarter by the company. In Q1FY25, Om Infra reported a 160 per cent jump on a quarter-on-quarter (QoQ) in its standalone net profit at Rs 131.34 million.

However, on a yearly comparison, net profit declined slightly from Rs 159.74 million in the June 2023 quarter.

On the top-line front, the Vijay Kedia-backed company reported revenue from operations at Rs 1,639.4 million in the first quarter of the current financial year, while its operational income stood at Rs 2,860.74 million in the previous quarter ended on March 31, 2024.

Managing Director of Om Infra Limited, Vikas Kothari, stated, "We are happy to report a great start to the financial year 2024-25. Positive outcomes have been obtained by concentrating on operational excellence, strategic investments, and sustainable growth. In the upcoming quarters, we're still dedicated to meeting our growth targets and providing value to our stakeholders."

Kothari added, "This performance reflects the resilience of our business model and the dedication of our team."

On segment-wise performance, the company's engineering segment continued to remain the key driver of the revenue with a revenue of Rs 1,619.47 million, while the real estate sector contributed Rs 19.93 million to the revenue for Q1FY25. Operational profit came in at Rs 180 million, with EBITDA margins increasing to 11 per cent for the quarter.

Kothari also added, "Our focus remains on executing our ongoing projects efficiently while securing new opportunities to drive growth and enhance shareholder value."

Rajasthan-based Om Infra is a conglomerate involved in diverse business activities and interests related to Hydro-mechanical equipment, turnkey solutions for infra engineering, water pipelines civil structures of dams etc and more.

Om Infra is currently working on multiple engineering projects, including some backed by the government such as 'Har Ghar Jal' and various other infra and water storage projects including dams, canals and more in the various parts of the country covering almost 16 states including Nepal and Rwanda (Africa) in the foreign market.

OM Infra Stocks Fundamentals:

As per Trendlyne data, the company's annual revenue rose 39.08%, in the last year to ₹1,152.99 Cr. Its sector's average revenue growth for the last fiscal year was 11.47%. While annual net profit rose 266.34% in the last year to ₹47.16 Cr. Its sector's average net profit growth for the last fiscal year was 140.72%.

Further, its stock rose 229.01% and outperformed its sector by 164.35% in the past year. Also, Debt to Equity Ratio of 0.1 is less than 1 and healthy, implying that its assets are financed mainly through equity. Additionally, the Price to Earning Ratio is 39.12, lower than its sector PE ratio of 41.51.

Notably, in Q1FY25, Om Infra also saw the entry of a renowned mutual funds house. Data as per BSE showed that Quant Mutual Fund has picked up 17,86,978 equity shares or 1.86% in Om Infra in the June 2024 quarter.

Currently, the stock price is at Rs 186.70 apiece with a market cap of Rs 1,797.99 crore. YTD, the stock has rallied by nearly 245%. A year ago, Om Infra hares were below Rs 55 on BSE.

Among corporate actions, Om Infra has not carried any bonus issue but has split its shares in the ratio of 1:10 in 2005. In terms of dividends, the company has distributed 24 dividends so far since August 2001. On the current market price, the dividend yield is at 0.27%.