Ashoka Buildcon Shares Decline After NHAI Cancels Highway Project


Ashoka Buildcon’s shares fell by 2.51% to Rs 235.30 following the cancellation of a highway project worth Rs 14 billion by the National Highways Authority of India (NHAI). The project, which involved developing a four-lane economic corridor from Kharagpur to Chandrakona Ghatal in West Bengal, was canceled for administrative reasons.

Ashoka Buildcon, the lowest bidder (L1) for the project, is now eligible to re-bid following NHAI’s decision. The company is involved in the construction and maintenance of highways and toll roads, and this cancellation affects its business prospects, though it remains in the running for the re-bidding process.

Despite this setback, Ashoka Buildcon reported a substantial rise in profits, with its consolidated net profit growing by 334.15% to Rs 462.46 crore, driven by a 15.53% increase in revenue for Q2 FY25 compared to Q2 FY24.

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