Markolines bags ₹18.87 Cr NH-2 Tollway order; order book surpasses ₹400 Cr. Stock rises 61% YoY. Strong fundamentals, ROE 16%, ROCE 18%.
Introduction of Markolines Pavement Technologies
- Quick summary of the recent order from Varanasi Aurangabad NH-2 Tollway Pvt Ltd
- Mention total order book crossing Rs 400 crore
- Highlight company’s performance, stock growth, and future outlook
About Markolines Pavement Technologies
Markolines Pavement Technologies Limited
- Company background and industry leadership since 2002
- Work completed: 4,870 lane kilometers
- Overview of services: highway maintenance, rehabilitation, overlay, BC, and O&M
- Recent migration to BSE Mainboard (June 12, 2025)
The Rs 18.87 Crore NH-2 Tollway Contract
- Details of the Letter of Award (LoA) from VATPL
- Scope: periodic maintenance, rehabilitation, BC overlay from Km 786 to Km 843 in Uttar Pradesh
- Timeline: 3 months, excluding monsoon
- Importance of repeat business from clients
Recent Orders in Gujarat – Vadodara Kim Expressway
- Two contracts worth Rs 16.76 crore for restoration work
- Consolidates Markolines’ position in Gujarat
- Enhances portfolio of O&M contracts across Indian highways
Strong Financial Fundamentals
- Market cap: Rs 360+ crore
- Unexecuted order book: Rs 400+ crore as of April 30, 2025
- Pipeline: Rs 500 crore in finalisation stages
- Financial ratios:
Stock Performance and Market Sentiment
- Share price up 61.7% from 52-week low of Rs 107
- Factors contributing to the rise:
- Order wins
- Sector optimism
- Merger news
- Investor interest in high-growth infrastructure stocks
Merger with Markolines Infra Limited
- Announcement of the merger, subject to regulatory approvals
- Strategic aim: establish India’s largest O&M highway firm
- Synergies from integration: better resource utilization, cross-functional expertise, operational scale
Sector Outlook and Growth Drivers
- Indian government’s infrastructure push under Bharatmala & Gati Shakti
- Public-private partnerships (PPPs) in highway maintenance
- Strong demand for periodic and performance-based maintenance contracts
Conclusion and Investor Takeaway
- Markolines is well-positioned for growth with strong order visibility and operational expertise
- Robust financial health, strategic contracts, and merger potential make it an attractive bet
- Suitable for long-term investors looking at infrastructure-focused small-cap stocks
Recent Contract Award Details
Markolines Pavement Technologies Limited
| Particulars | Details |
|---|
| Project Name | Varanasi Aurangabad NH-2 Tollway Maintenance |
| Client | Aurangabad NH-2 Tollway Pvt Ltd (VATPL) |
| LoA Value | ₹18.87 crore (inclusive of GST) |
| Scope of Work | Periodic maintenance, rehabilitation, and overlay (BC) of service road |
| Location | Km 786 to Km 843, NH-2, Uttar Pradesh |
| Timeline | 3 months (excluding monsoon period) |
| Purpose | Strengthening service road infrastructure |
Markolines Current & Pipeline Order Book (as of April 30, 2025)
| Category | Value (in ₹ Crore) |
|---|
| Unexecuted Order Book | ₹400+ |
| Pipeline Orders (in process) | ₹500 |
| Recent Orders (incl. NH-2) | ₹18.87 (U.P.) + ₹16.76 (Gujarat) = ₹35.63 |
Key Financial Indicators – Markolines Pavement Technologies
| Metric | Value |
|---|
| Market Capitalization | ₹360+ crore |
| Return on Equity (ROE) | 16% |
| Return on Capital Employed (ROCE) | 18% |
| 52-Week Low Share Price | ₹107 |
| Current Stock Growth | Up 61.7% from 52-week low |
| Listing | Migrated to BSE Mainboard (June 12, 2025 |
Strategic Updates & Milestones
| Milestone | Description |
|---|
| BSE Mainboard Listing | Migrated on June 12, 2025 |
| Merger Announcement | With Markolines Infra Limited, pending approvals |
| Post-Merger Impact | Expected to become India’s largest O&M highway company |
| Lane Kilometers Completed | 4,870 lane km across India |
| Technological Edge | Modern pavement maintenance techniques and integrated O&M solutions |
