Defence stock in focus after it receives order worth ₹420 Cr from Ministry of DefenceDefence stock in focus after it receives order worth ₹420 Cr from Ministry of Defence

Introduction:

Leading Defence equipment manufacturer has secured a ₹420 crore contract from the Ministry of Defence to supply 1,121 Rough Terrain Forklift Trucks, enhancing logistics efficiency and strengthening India’s self-reliance under the ‘Make in India’ initiative.

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Share price movement of Action Construction:

On February 21, 2025, Action Construction Equipment Ltd. (ACE) opened at ₹1,264.85, up 1.61% from its previous close of ₹1,244.85. The stock reached a high of ₹1,264.85 and a low of ₹1,195.35. By 3:50 PM, it traded at ₹1,216.35 with a market cap of ₹14,484.68 crore.

ACE Ltd Secures ₹420 Crore Defence Contract for RTFLTs:

Action Construction Equipment Ltd (ACE) has won its largest-ever contract worth ₹420 crore from the Ministry of Defence. The deal includes 1,121 Rough Terrain Forklift Trucks (RTFLTs) to enhance logistics for the Indian Army, Air Force, and Navy.

The contract, signed in the presence of Defence Secretary R K Singh, constitutes 60% of a larger order for 1,868 RTFLTs. These mission-critical assets will improve combat readiness by reducing manual handling of supplies, strengthening India’s defence infrastructure under the ‘Make in India’ initiative.

ACE secured the contract after rigorous performance testing, showcasing its advanced technology and R&D strength. This milestone further establishes ACE as a key player in India’s self-reliant defence manufacturing sector, contributing to operational efficiency and national security.

Recent news on Action Construction:

As of February 20, 2025, Action Construction Equipment Ltd. reported strong Q3 results, with net sales rising 16.2% YoY to ₹875.11 crore and net profit surging 26.55% to ₹111.68 crore. EBITDA grew 31.3% to ₹165.06 crore, boosting EPS to ₹9.38.

Stock performance of Action Construction for Period of 1 week, 6 months and 1 year:

Action Construction Equipment Ltd. delivered a 3.63% gain over the past week, while its six-month return stood at -4.47%. However, the stock maintained a strong yearly performance, posting a 13.9% gain over the last 12 months.

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Shareholding pattern of Action Construction:

Particulars	Dec 2024	Sep 2024	Jun 2024
Promoter	65.40%	65.40%	65.40%
FII	12%	10.50%	10.10%
DII	1.80%	1.60%	1.80%
Public	20.90%	22.40%	23%

About Action Construction:

Action Construction Equipment Ltd (NSE: ACE) specializes in manufacturing hydraulic mobile cranes, tower cranes, forklifts, road construction, and agricultural equipment. Incorporated in 1995, the company launched its IPO in 2006, strengthening its position in India’s construction and infrastructure sector.

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.