Azad Engineering shares hit a day high of Rs 3,043.20 on 12 October, up 5%, before the firm disclosed a Rs 52.68 crore BHEL contract.

Azad Engineering Limited told exchanges at 3:44 pm, after trading had closed for the day, that Bharat Heavy Electricals Limited (BHEL) has handed it a two-year long-term rate contract worth around Rs 52.68 crore.

A rate contract usually fixes the price and terms for a set period, so the buyer can order as needed.

The parts are blades for gas turbines, the machines that burn gas to produce electricity. Some blades stay fixed while others spin, and Azad will supply both kinds.

Azad is now a long-term BHEL source. The work is domestic and runs until 9 October 2028. Azad said the contract backs BHEL’s push to make critical gas turbine parts in India.

It also said the deal is not a related-party transaction, and that its promoters and group companies have no interest in BHEL.

That explains the timing of the filing. A similar BHEL contract signed earlier went undisclosed because Azad judged it too small to matter. Taken together, in value and length, the two now count as material.

Azad has been busy lately. It opened two exclusive manufacturing units for GE Vernova’s gas power business at its Hyderabad centre, bringing its dedicated facilities for that customer to three.

Each unit covers 7,600 square metres. In the June quarter, sales came to Rs 172.60 crore, up 25.9% year on year, while profit after tax rose 19.5% to Rs 35.16 crore.

Azad Engineering ended Monday at Rs 2,968.40 on NSE, up by Rs 58.20 or 2.00%, after opening at Rs 2,941.00 against a previous close of Rs 2,910.20. The day’s low was Rs 2,932.20.

The share has gained about 79.4% over the past year and 82.7% so far this year, and its market value is roughly Rs 19,170 crore. Its 52-week high of Rs 3,127.90 came on 30 September.

Ready to invest like a pro? Tradz by EquityPandit app equips you with 100+ Free tools and knowledge you need to succeed. Download the Tradz by EquityPandit app and gain access to daily stock lists and insightful market analysis and much more!