H.M. Electro Mech Limited has secured a new work order worth ₹74.44 crore from Gujarat Water Infrastructure Limited (GWIL) for the design, construction, and maintenance of pumping infrastructure. The project was awarded to a joint venture in which H.M. Electro Mech holds a 69% share and V.L.Infraprojects Limited holds the remaining 31%. The contract value excludes GST and covers a comprehensive scope of work at the Navda Pumping Station.

The order entails designing, constructing, testing, and commissioning an RCC underground sump and RCC pump house. Additionally, the scope includes the supply, installation, testing, and commissioning of pumping machinery and allied electro-mechanical and instrumentation works. A key component of the contract is a 10-year comprehensive operation and maintenance agreement for the facility.

The project is located at the GWIL Navda Pumping Station [NC-28 & SPP-3A Pumping Station Project] in Village Navda, Taluka Barvala, District Botad. The joint venture has been allocated a period of 24 months to execute the order. The disclosure was made to the stock exchanges on May 30, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Mahendra Ramabhai Patel, Whole Time Director of H.M. Electro Mech Limited, confirmed that the order was awarded to a domestic entity. The filing further clarified that the promoters, promoter group, or group companies do not hold any interest in GWIL. It was also stated that the transaction does not fall within related party transactions.

The following table outlines the key particulars of the order:

H.M. Electro Mech Limited reported its audited financial results for the year ended March 31, 2026, on May 29, 2026. The company recorded a revenue from operations of ₹13,221.01 lakh for FY26, compared to ₹12,166.69 lakh in the previous year. Profit after tax (PAT) for the year stood at ₹974.93 lakh, while basic earnings per share (EPS) were ₹7.12. The board also approved the re-appointment of M/S J K Hingu & Co. as the Internal Auditor for the financial year 2026-27.

Financial Performance

The total revenue for FY26 increased to ₹13,299.16 lakh from ₹12,205.25 lakh in FY25. Total expenses rose to ₹11,962.55 lakh from ₹11,063.92 lakh in the same period. The company’s finance costs decreased to ₹163.69 lakh from ₹177.38 lakh in the prior year. The statutory auditor issued an unmodified opinion on the financial results, though an emphasis of matter was noted regarding the valuation of inventories amounting to ₹2,452.59 lakh due to the absence of detailed project-wise records.

Balance Sheet Highlights

The company's total assets grew to ₹13,713.92 lakh as of March 31, 2026, up from ₹9,735.67 lakh in the previous year. Shareholders' funds increased to ₹7,520.96 lakh from ₹6,546.03 lakh. Cash and cash equivalents improved significantly to ₹756.88 lakh from ₹243.83 lakh. Trade receivables rose to ₹6,530.03 lakh from ₹4,032.82 lakh.

IPO Fund Utilisation

During FY25, the company completed its Initial Public Offering (IPO), raising ₹2,774.40 lakh. As of March 31, 2026, the company utilised ₹2,752.72 lakh of the proceeds. The funds were primarily used to meet working capital requirements (₹2,078.32 lakh), general corporate purposes (₹401.94 lakh), and issue-related expenses (₹272.46 lakh). A balance of ₹21.68 lakh remains.

Board Appointments

The board of H.M. Electro Mech Limited re-appointed M/S J K Hingu & Co., Chartered Accountant, as the Internal Auditor for the financial year 2026-27. The appointment was made in compliance with Section 138 of the Companies Act, 2013, and Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The firm brings 4.5 years of experience in direct and indirect tax laws, statutory audit, and project financing.