Azad Engineering secures an ₹811 crore contract with Siemens Energy, boosting its stock by 8%. The contract spans six years and strengthens the company’s position as a key supplier of turbine components. Azad Engineering has also secured another major order from BHEL for high-precision turbine parts.
Azad Engineering, a leading player in the manufacturing and supply of high-performance turbine components, witnessed a sharp rise in its stock price after announcing the receipt of a major contract from Siemens Energy Global GmbH & Co. The company’s share price surged more than 8% during intraday trading on Thursday, reaching a high of ₹1,537.50, up from the previous close of ₹1,417.50.
Azad Engineering, based in India, specializes in manufacturing mission-critical components such as combustion commodities, cold blades, vanes, and machined parts for the power and energy sector. The company has gained significant recognition for its high-quality products and advanced manufacturing capabilities.
The Siemens Energy Contract
Azad Engineering informed the stock exchanges on January 29, 2025, that it had signed a long-term contract with Siemens Energy Global GmbH & Co. for the supply of turbine components. The contract, valued at approximately ₹811 crore (€90.1 million), spans six years. This deal will further strengthen Azad Engineering’s partnership with Siemens Energy, positioning the company as a trusted supplier of high-performance turbine systems for critical industries.
The components to be supplied under the contract include combustion parts, cold blades, vanes, and other machined parts. This strategic collaboration is a key milestone for Azad Engineering, reflecting its growing influence in the global energy sector.
A Year of Growth
Azad Engineering’s stock has seen significant growth, increasing from ₹660 at the beginning of 2024 to its current levels, delivering multibagger returns to investors. The company’s strong order book and partnerships with major energy players like Siemens Energy have played a pivotal role in driving its stock performance.
Recent Order Wins
In addition to the Siemens Energy contract, Azad Engineering also secured a purchase order from Bharat Heavy Electricals Limited (BHEL) for the supply of high-complex rotating airfoils for supercritical turbines. This project is a collaboration with the Central Electricity Authority, National Thermal Power Corporation (NTPC), and BHEL, marking a significant achievement in the indigenization of turbine components in India. The airfoils, which were previously imported due to their technical complexity, are now being locally manufactured by Azad Engineering.
Stock Performance and Market Reaction
The positive news has had a strong impact on Azad Engineering’s stock performance. As of Thursday’s trading, the stock rose by more than 8%, continuing its upward trend. Azad Engineering’s shares have risen over 130% in the last year, reflecting investor confidence in the company’s growth prospects.
With a robust order pipeline and continued expansion into the global market, Azad Engineering is poised for further success in the coming years.
