Synopsis: Highway Infrastructure Limited rose 11% after receiving a ₹154.60 crore LOA from NHAI to manage user fees and maintain toilet facilities at toll plazas on the Vadodara–Mumbai Expressway within 90 days.
The shares of the Penny stock company, specializing in comprehensive infrastructure development and management, focusing on Engineering, Procurement, and Construction (EPC) projects, tollway collection, and real estate development, are in focus after securing a Letter of Acceptance from NHAI for Rs. 154.59 Crores.
With a market capitalization of Rs. 416.34 Crores on the Day’s Trade, the shares of Highway Infrastructure Ltd rose by 11 percent, reaching a high of Rs. 59.90 compared to its previous close of Rs. 54.11.
What Happened
Highway Infrastructure Ltd, engaged in comprehensive infrastructure development and management, has received a Letter of Acceptance (LOA) from the National Highways Authority of India (NHAI) on 16th February 2026, valued at Rs. 154.60 crore.
The order involves Highway Infrastructure Limited acting as the user fee agency for the Moti Naroli, Ena, and Gandevi Fee Plazas along the Vadodara–Mumbai Eight-Lane Expressway in Gujarat, covering multiple sections. It also includes upkeep and maintenance of adjacent toilet blocks, including replenishment of consumable items, and is to be executed within 90 days.
Financials & Others
The company’s revenue declined by 9.22 percent from Rs. 139.75 crores in December 2024 to Rs. 126.86 crores in December 2025. Meanwhile, Net profit rose from Rs. 4.66 crores to Rs. 6.26 crores in the same period.
The company has delivered impressive financial performance, with a ROCE of 19.6% and ROE of 18.8%, showing strong returns on both capital and equity. Its low debt-to-equity ratio of 0.21 reflects a conservative balance sheet, supporting growth while keeping financial risk minimal.
Its valuation looks attractive, with a stock P/E of 11.9 versus an industry P/E of 20.6, and a PEG ratio of 0.34, highlighting strong earnings growth relative to price. With a profit CAGR of 23.7% over the last five years, the company combines solid growth, healthy returns, and undervalued stock potential, making it compelling for investors.
Highway Infrastructure Ltd (HIL), established in 2006 (formerly Highway Enterprises, founded 1995), is an Indore-based company specializing in tollway collection, Engineering, Procurement, and Construction (EPC), and real estate development.
Highway Infrastructure has established a strong presence across 11 states and 1 union territory, with over 30 years of execution experience. Its diversified business spans EPC infrastructure, tollway collection, and real estate, backed by a track record of 105+ completed projects and 28+ ongoing projects, demonstrating both scale and operational expertise.
For 9MFY26, Highway Infrastructure’s revenue is largely driven by its Tollway Collection, contributing 78.1%, followed by EPC Infra at 20%, while Real Estate & other businesses account for 1.9%, highlighting a clear focus on its core infrastructure and toll operations.
The company’s consolidated order book has reached an all-time high, growing by ~50% from Rs. 775 Cr in Sep’25 to over Rs. 1,160 Cr as of Jan’26. Notably, the tollway collection portfolio expanded rapidly, securing Rs. 437.3 Cr in new orders over the last 2–3 months, reflecting a 181% growth in the toll order book.
The EPC order book also saw strong growth, rising ~50% from Rs. 417 Cr in Mar’25 to Rs. 624 Cr as of Jan’26. From this, the company is targeting completion of Rs. 400–450 Cr worth of EPC projects over the next two years.
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