Power Mech rallies 6% on new order win; stock doubles in over 4 months

Shares of Power Mech Projects surged nearly 6% in opening trade today after the company announced a fresh order win. The smallcap stock has doubled over the past four months, driven by a consistent flow of contracts across the power and infrastructure sectors.

Snapping two sessions losing streak, Power Mech Projects shares gained as much as 5.6% to ₹3,398.90 on the BSE. The stock opened 4% higher at ₹3,349.50 after ending 2.8% lower in the previous session.

At the time of reporting, shares of Power Mech Projects were trading at ₹3,333.15, up 3.56%, with a market capitalisation of ₹10,538 crore. The counter touched its 52-week high of ₹3,725 on August 23, 2024, and a 52-week low of ₹1,698.85 on March 3, 2025.

At the current level, the stock has rebounded 100% from its 52-week low level, while it is down nearly 9% from its 52-week high mark. It has delivered a 14% return in the past one year; 37% in six months; and 7% in a month.

Power Mech shares got a boost today after the company announced the receipt of two orders totaling ₹551.35 crore. The first order, valued at ₹498.39 crore has been awarded by SJVN Thermal (P) Ltd. (STPL). The contract includes commissioning support and comprehensive operation and maintenance (O&M) services for the Buxar Thermal Power Project, a coal-based supercritical plant (2 × 660 MW) located in Chausa, Buxar district, Bihar.

The second order, worth ₹52.96 crore, comes from Jhabua Power Limited, a joint venture of NTPC Limited. This contract involves O&M services for the boiler, turbine, and generator (BTG) of a 1 × 600 MW thermal unit located at Village Barela, Seoni district, Madhya Pradesh.

The timeline for completion of SJVN Thermal project is 39 months and for that of Jhabua Power is 3 years with a provision for extension for 1 year.

Last month, the Hyderabad-based company secured a renewable energy order from the Bihar State Power Generation Company Limited (BSPGCL) for the development of distributed solar power plants across the state of Bihar.

The contract, awarded under the PM-KUSUM Component C2 Scheme (Feeder Level Solarisation), involves setting up grid-connected solar power plants with a cumulative capacity of 13.66 MW (AC) at various power substations. These projects will be executed through the RESCO (Renewable Energy Service Company) model, with power to be procured by Bihar’s DISCOMs - NBPDCL and SBPDCL.

The estimated revenue generation from the project over the 25-year term of the power purchase agreements (PPAs) is approximately ₹159 crore, the company said in an exchange filing on June 26.

The comprehensive scope of work includes the design, supply, installation, testing, commissioning, and operation & maintenance of the solar power plants, along with the required transmission infrastructure.

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