Avantel Limited has secured a prestigious contract worth Rs 5.3 crore from the Naval Headquarters, Ministry of Defence. This domestic order involves the development and manufacturing of Satcom Baseband equipment (LDPC) for Cband Hub, a crucial component of the Indian Navy’s satellite communication infrastructure.
The equipment, scheduled for delivery by November 2024, will enhance the Navy’s communication capabilities and ensure secure data transmission at sea. This win signifies Avantel’s expertise in advanced communication technologies and strengthens its position as a trusted supplier for the Indian defence sector.
Furthermore, Avantel Limited has recently secured a Rs 67.92 crore provisional purchase order from NewSpace India Limited. This domestic contract, awarded in December 2023, involves the supply, installation, and commissioning of Satcom Terminals (Xponders) by October 2024.
These order builds upon Avantel’s strong financial performance, further contributing to its growth trajectory and showcasing its commitment to supporting India’s strategic requirements.
Avantel Limited reported a strong second quarter for FY24, with a net sales increase of 49.99% to Rs 54.33 crore, compared to Rs 36.23 crore in the same quarter last year. The operating profit also experienced a significant increase of 150.99%. The net profit for the quarter stood at Rs 16.07 crore, which was Rs 6.14 crore in the previous year’s same quarter.
Avantel Limited is in the design and development of products based on high-power broadband wireless, satellite communication, and broadband access technologies. The design, development, and integration of wireless and access products are carried out using standard and proprietary software tools.
Today, the stock opened at Rs 123, with a high and low of Rs 123.50 and Rs 118, respectively. The stock is currently trading at Rs 118.95, which decreased by 2.02%. The stock has a 52-week high of Rs 136.00 and a 52-week low of Rs 24.18. The company has an ROCE of 37.1% and an ROE of 30.7%, with a market capitalisation of Rs 2,986 crore.
The stock has shown impressive growth, and investors should keep a close eye on this stock.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
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