Reliance Awards Rs 700 Crore Contract to Afcons for Gujarat Project

Reliance Industries, led by Mukesh Ambani, has awarded Afcons Infrastructure Limited a significant contract worth Rs 700 crore for the Vinyl Project in Dahej, Gujarat. The project, scheduled for completion by June 2026, encompasses civil, mechanical, installation, testing, and commissioning works. Afcons acknowledged receiving the Letter of Award (LOA) from Reliance Industries for this contract in a regulatory filing. The company's shares responded positively to the news, closing at Rs 436 each on Monday, reflecting a 3% increase. In its quarterly report for the March quarter, Afcons reported a net profit of Rs 110.92 crore, marking a 23% decline from the previous year's Rs 144.90 crore. However, the company showed resilience with a net profit of Rs 148.85 crore in the preceding quarter. Afcons' operating revenue for the fourth quarter of FY25 was Rs 3,223.27 crore, down from Rs 3,636.43 crore in the same period the previous year. The board also approved a dividend of Rs 2.50 per share for shareholders. Afcons Infrastructure, part of the Shapoorji Pallonji Group, boasts an improved debt position with an order book of Rs 36,869 crore, excluding L1 projects worth Rs 10,662 crore. The company has undertaken over 350 infrastructure projects across 25 countries, including notable projects like the Chenab Rail Bridge and the Kanpur Metro.