MIC Electronics share price witnessed a noticeable uptick in Wednesday's trading session, driven by a significant order from Indian Railways. The stock surged to a day’s high of ₹42.32, marking a 1.2% rise over its previous close of ₹41.82.
This development has brought renewed attention to MIC Electronics in the stock market today, as investors track the impact of government-linked orders on the company’s growth trajectory.
Market Performance
- Stock movement in recent sessions:
- Gained 2.67% in the last five trading sessions
- Up about 7% over the past month
- Declined 11.3% in six months and 40% in the last year
MIC Electronics’ performance reflects a mix of short-term gains supported by new contracts and longer-term volatility in the market.
MIC Electronics’ New Orders From Indian Railways
The Hyderabad-based LED display and electronic equipment manufacturer recently announced receipt of a Letter of Acceptance (LoA) from the Howrah Division of the Eastern Railway Zone, Indian Railways.
- Order value: ₹4.45 crore
- Scope: Installation of Coach and Train Indication Boards (CIB & TIB) at multiple stations, including PRGR, SKIP, BZLE, SALE, MGAE, SDI, MRR, and RJG
- Execution period: Six months
Earlier in the week, MIC Electronics also secured a LoA from the Firozpur Division of the Northern Railway Zone for coach guidance and public address (PA) systems at SVDK and SINA stations.
These orders highlight the company’s continued engagement with Indian Railways and its expanding footprint in railway infrastructure projects.
Q3 FY26 Performance Highlights
MIC Electronics posted a mixed set of results for the December quarter (Q3 FY26).
- Revenue: ₹90.23 crore, up 667.91% YoY from ₹11.75 crore in the December 2024 quarter
- Sequential growth: 138% increase from ₹37.89 crore in Q2 FY26
- Net Profit: ₹1.88 crore, down 13.36% both YoY and QoQ from ₹2.17 crore
Margin Analysis
- Operating Margin: Contracted to 4.40% from 10.06% in Q2 FY26
- PAT Margin: Dropped to 2.08% from 5.73% sequentially
Despite robust revenue growth, profit margins remain under pressure, reflecting the company’s cost dynamics and operational challenges.
Company Overview
MIC Electronics is a Hyderabad-based manufacturer specializing in LED display systems and electronic equipment. The company is actively engaged in delivering infrastructure solutions to Indian Railways and continues to strengthen its position in public sector contracts.
- Market Capitalization: ₹998 crore
- Primary business segments: LED solutions, electronic equipment, coach and train information systems
The recent orders underscore the company’s focus on railway modernization and infrastructure projects, which contribute meaningfully to its top-line growth.
Summary
MIC Electronics share price has reacted positively to the new Indian Railways order, reflecting short-term investor confidence. While revenue has surged impressively, net profit and operating margins indicate ongoing cost pressures.
The company’s engagement with multiple railway zones demonstrates its strong position in the public sector infrastructure domain. Market participants are closely watching how MIC Electronics executes these orders and what effect they may have on the company’s performance in the upcoming quarters.
Source: Livemint
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