Ashoka Buildcon Shares Surge on Receiving ₹568.86 Crore Contract from Central Railway

Ashoka Buildcon Limited has been issued a Letter of Acceptance by Central Railway for a gauge conversion project in Maharashtra. The contract covers the Pachora-Jamner section, covering approximately 53.3 kilometres. It excludes the Pachora yard and any road over-bridge works.

As of 9:49 AM on April 23, 2025, Ashoka Buildcon share price was trading at ₹202.67, a 2.35%, but down 1.51% over the past month and 14.78% over the past six months

Work Involved

The scope of the contract includes construction of earthwork, major and minor bridges, road under-bridges (RUBs), permanent way work (P. Way), and other civil works. The project will be executed under the engineering, procurement, and construction (EPC) model.

Contract Details

The contract was awarded by a domestic public sector entity, Central Railway. It is not classified as a related party transaction. The promoter group of Ashoka Buildcon has no interest in the awarding authority.

The total contract value is ₹568.86 crore, inclusive of Goods and Services Tax (GST). The execution period for the project is 913 days from the date of commencement.

Regulatory Disclosures

The information was shared with stock exchanges on April 22, 2025, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. 

Read More: Ashoka Buildcon Share Price Rise 3% on Securing ₹568.86 Crore Central Railway Project!

Financials

For the third quarter of FY25, Ashoka Buildcon reported revenue of ₹2,387.9 crore, a decrease from ₹2,657.1 crore in the same quarter of the previous year. Profit before tax for the quarter stood at ₹306.7 crore, reflecting a 62.4% year-on-year increase. EBITDA rose to ₹638 crore from ₹597 crore in Q3 FY24. The EBITDA margin expanded to 26.8% from 22.5% in the same period last year.

Conclusion

The new railway contract will be added to the company’s upcoming projects. Work is expected to proceed over the next two and a half years, with the usual compliance and execution structure.

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