Patel Engineering received a ₹711.29 crore order from NEEPCO for constructing the 240 MW HEO Hydropower Project in Arunachal Pradesh. The project spans 44 months and includes civil works, testing, and commissioning, reinforcing the company’s focus on hydropower infrastructure.
Earlier in the session, shares of Patel Engineering Ltd jumped 1.59% to ₹42.90 after the company was declared the L1 bidder for the construction of the HEO Hydropower Project. However, as of 11:10 AM IST, the stock was trading at ₹41.88, up just 0.83%, as it failed to hold on to early gains.
Patel Engineering Ltd has officially received the Letter of Acceptance (LOA) for a significant hydropower project valued at ₹711.29 crores from the North Eastern Electric Power Corporation Limited (NEEPCO). This follows their earlier intimation on April 25, 2025, when PEL was declared the Lowest Bidder (L1) for the construction of the 240 MW HEO Hydropower Project in Arunachal Pradesh.
The project, located in the Shi Yomi district of Arunachal Pradesh, is slated for completion within 44 months. The comprehensive scope of work includes the construction of civil and associated infrastructure, as well as the testing and commissioning of Hydro-mechanical Plant & Machinery. The ultimate goal is to ensure the successful operation and performance of all generating units of the 240 MW HEO Hydro Electric Project.
Ms. Kavita Shirvaikar, Managing Director, Patel Engineering Limited said, “We are proud to have been awarded the HEO Hydropower project from NEEPCO. This order further cements our position as a trusted partner for building critical infrastructure for India’s power sector and strengthens our position in the North-East. Arunachal Pradesh with its vast and largely untapped hydropower potential, is emerging as a key region in India’s renewable energy landscape. As we embark on the execution of the HEO hydropower project, we bring with us decades of experience, a proven track record in complex hydropower works, and a deep sense of responsibility towards environmental stewardship and community engagement."
In Q4 FY25, the company reported a 20% year-on-year growth in revenue from operations, reaching ₹1,611.86 crore compared to ₹1,343.18 crore in Q4 FY24. However, profit after tax declined sharply by 75.37% to ₹34.71 crore from ₹140.94 crore in the same quarter last year.
For the full financial year FY25, revenue from operations stood at ₹5,093.36 crore, marking a 12.09% increase from ₹4,544.11 crore in FY24. Despite the growth in revenue, the annual profit after tax declined by 21.70% to ₹236.16 crore, down from ₹301.60 crore in the previous fiscal year.
Patel Engineering Ltd is a 76-year-old company established in 1949 and has a strong presence in the hydropower, tunnelling and irrigation segments. The Company has a consistent track record in the execution of projects in both the domestic and international arenas. PEL has completed over 85 dams, 40 hydroelectric projects and more than 300 km of tunnelling for clients, which are mostly central PSUs or state government organisations.
On a year-to-date basis, the stock is down by 19.38% and in 12 months it is down by 36.21%. In the long term of 3-year period, it has logged returns of 89.63%.
As of March 2025, the company's shareholding pattern was as follows: Promoters held 36.11% of the total equity. Foreign Institutional Investors (FIIs) increased their stake to 5.01% from 4.74% in the previous quarter. Domestic Institutional Investors (DIIs) also raised their holdings to 4.70%, up from 4.51% in the last quarter. The public investors held the largest share at 49.80%, while Others accounted for 4.39% of the shareholding. Notably, in the June 2024 quarter, ace investor Vijay Kedia held a 1.42% stake in the company.
Disclaimer: The article is for informational purposes only and not investment advice.
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