E Factor Experiences Limited, a microcap company specializing in event experiences, services, and technology-driven turnkey event solutions, surged 18% in intraday trading following the announcement of a significant work order from the Indian Government valued at Rs. 176 Crores.
Stock Price Movement
With a market capitalization of Rs. 332 Crores, the company’s shares were trading at Rs. 254 per equity share, marking a 14% increase from the previous day’s closing price of Rs. 223.
Key Announcement
The company, in partnership with Tata Consulting Engineers Limited’s subsidiary, Eco First Services Limited, secured a prestigious contract from the Indira Gandhi National Centre for the Arts, under the Ministry of Culture. The contract, worth Rs. 176.09 Crores, is for the Engineering, Procurement, and Construction (EPC) of the Indian Pavilion at World Expo 2025, to be held in Osaka, Japan. The project is slated for completion by October 2025.
Financial Performance
E Factor Experiences Limited’s revenue from operations saw a robust 25% year-on-year growth, rising from Rs. 119 Crores in FY23 to Rs. 149 Crores in FY24. The company’s profits also doubled, growing from Rs. 7 Crores to Rs. 15 Crores during the same period. The company boasts strong return ratios, with a return on equity (ROE) of 50% and a return on capital employed (ROCE) of 58%. Its debt-to-equity ratio stands at a healthy 0.07, indicating a strong financial position.
