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Rajesh Power Services Ltd (544291)

📊 BSE: 544291 🏢 Multi Utilities 📢 Latest filing: 14 Oct 2026 📝 Analysis written: 13 Nov 2025

Latest quarterly results (H2 FY26)

In its latest reported quarter, H2 FY26, Rajesh Power's revenue was ₹990 Cr (+30.4% year on year, +55.2% on the previous half-year), and net profit ₹84.0 Cr (+25.4% year on year); the operating margin was 11.4%.

H2 FY26 (₹ Cr)	Value	YoY vs H2 FY25	vs prev. half
Revenue	₹990	+30.4%	+55.2%
Operating profit	₹113	+29.9%	+34.5%
Net profit	₹84.0	+25.4%	+42.4%
EPS (₹)	46.88	+25.9%	+43.6%
Operating margin	11.4%	—	—

Full quarterly financials → Results calendar →

📢 Recent Corporate Announcements

Rajesh Power Wins ₹69.004 Cr UGVCL Order; Week's Wins Total ₹540.92 Cr

🟢 POSITIVE ⭐ 7/10

OTHER 📅 14 Oct 2026, 01:14 PM

Rajesh Power Services has received a Letter of Acceptance from Uttar Gujarat Vij Company Limited (UGVCL) for a turnkey contract valued at ₹69.004 crore (inclusive of taxes). This follows a ₹471.92 crore order win from MGVCL announced on October 12, bringing total back-to-back orders to ₹540.924 crore within a week. The combined wins represent ~20% of the company's TTM revenue of ₹2,700 crore, significantly expanding its execution pipeline. The new UGVCL project entails shifting electrical networks and asset tagging, to be executed over a 12-month period.

Received Letter of Acceptance dated October 13, 2026, for a turnkey contract worth ₹69.004 crore from UGVCL
Project execution timeline is fixed at 12 months
Combined back-to-back Gujarat utility orders reach ₹540.924 crore within one week (UGVCL ₹69.004 crore + MGVCL ₹471.92 crore)
Scope includes shifting electrical networks, GIS Mapping/Geo Urja Mapping, and Asset Tagging under the ND Scheme across Sabarmati and Mehsana Circle

💡 Monitor quarterly revenue conversion and operating margins over the next 12 months to verify timely project execution without cost overruns.

Rajesh Power Secures ₹69 Cr Turnkey Order from UGVCL

🟢 POSITIVE ⭐ 5/10

EXPANSION 📅 14 Oct 2026, 01:10 PM

Rajesh Power Services Ltd has secured a domestic turnkey contract worth ₹69 crore (inclusive of taxes) from Uttar Gujarat Vij Company Limited (UGVCL). The scope involves shifting existing electrical networks in Sabarmati and Mehsana circles along with GIS mapping and asset tagging under the ND Scheme. The contract is scheduled to be completed within 12 months. Relative to the company's TTM revenue of ₹2,700 crore, this contract represents approximately 2.6% of annual turnover.

Order size is ₹69 Crores (Incl. Taxes)
Execution timeline set at 12 Months
Awarded by domestic utility Uttar Gujarat Vij Company Limited (UGVCL)
Scope covers electrical network shifting with GIS Mapping and Asset Tagging under ND SCHEME

💡 Monitor execution milestones over the 12-month tenure and track overall order inflows in upcoming quarterly filings to assess order book replenishment.

Rajesh Power Secures ₹471.92 Cr Turnkey Order from MGVCL; Order Book Nears ₹4,000 Cr

🟢 POSITIVE ⭐ 7/10

OTHER 📅 12 Oct 2026, 09:56 AM

Rajesh Power Services has secured a turnkey contract worth ₹471.92 crore (inclusive of taxes) from Madhya Gujarat Vij Company Limited (MGVCL) for power distribution infrastructure. The contract involves converting existing 11kV overhead lines to medium voltage covered conductors and installing underground cabling across Gujarat. With an execution period of 18 months, this single win represents ~17.5% of its TTM revenue of ₹2,700 crore and expands its total order book close to ₹4,000 crore.

Order value of ₹471.92 crore (inclusive of taxes) awarded by MGVCL
Execution timeline set for 18 months under MGVCL’s SI Scheme Robust-III
Adds over 10% to the company's order book, taking the aggregate book nearing ₹4,000 crore
Project scope entails conversion of 11kV overhead lines to MVCC and underground cabling

💡 Track execution progress and billing milestones across the 18-month schedule, along with operating margins in upcoming quarterly prints to check for raw material cost absorption.

Rajesh Power Secures ₹471.92 Cr Turnkey Order from MGVCL

🟢 POSITIVE ⭐ 7/10

OTHER 📅 12 Oct 2026, 09:46 AM

Rajesh Power Services Ltd has received a domestic turnkey order worth ₹471.92 crore (inclusive of taxes) from Madhya Gujarat Vij Company Limited (MGVCL). The scope entails conversion of 11kV overhead lines to Medium Voltage Covered Conductor (MVCC) and underground network across various locations in Gujarat under the SI Scheme Robust-III. The contract has an execution timeline of 18 months and represents approximately 17.5% of the company's TTM revenue of ₹2,700 crore, significantly bolstering revenue visibility.

Order size of ₹471.92 Crores (inclusive of taxes)
Execution timeline set at 18 months from award
Client is domestic utility Madhya Gujarat Vij Company Limited (MGVCL)
Work entails conversion of 11kV overhead line to MVCC and underground network under SI Scheme Robust-III
Turnkey contract awarded in normal course of business with no related-party interest

💡 Track execution progress and billing run-rate across the upcoming quarterly results over the 18-month delivery window, alongside operating margin trends.

Rajesh Power Reallocates ₹25.11 Cr IPO Capex Proceeds to BESS Facility Setup

🟡 NEUTRAL ⭐ 5/10

EXPANSION 📅 24 Sep 2026, 05:15 PM

Shareholders of Rajesh Power Services Ltd approved a variation in the utilization of IPO proceeds at the 17th AGM held on September 24, 2026. The company is reallocating the entire unutilized capex proceeds of ₹25.11 crore (₹2,510.93 lakhs) to 'BESS Facility Setup & Associated Infrastructure'. The unutilized funds were originally slated for cable testing equipment (₹17.95 cr), a 1,300 KW solar plant (₹4.16 cr), and green hydrogen R&D (₹3.00 cr). Out of total net proceeds of ₹77.97 crore, ₹52.86 crore has already been utilized for working capital and general corporate purposes.

Reallocated ₹25.11 crore (₹2,510.93 lakhs) of unutilized IPO proceeds entirely to BESS Facility Setup
Cancelled original plans for cable testing equipment (₹1,794.82 lakhs), 1,300 KW DC solar plant (₹416.11 lakhs), and green hydrogen R&D (₹300.00 lakhs)
Fully utilized allocated amounts: ₹3,000.00 lakhs for working capital and ₹2,286.00 lakhs for general corporate purposes
Total net fresh issue proceeds stood at ₹7,796.93 lakhs out of an overall IPO size of ₹160.47 crore

💡 Track the execution timeline, commercialization schedule, and capex milestones for the proposed Battery Energy Storage System (BESS) facility.

Rajesh Power Services Incorporates 100% Wholly Owned Subsidiary in New Zealand for Solar & EPC

🟡 NEUTRAL ⭐ 4/10

EXPANSION 📅 15 Aug 2026, 01:13 PM

Rajesh Power Services Limited has incorporated a 100% wholly owned foreign subsidiary, 'RAJESH POWER SERVICES NZ LIMITED', in New Zealand on August 14, 2026. The new entity will focus on Electrical and Solar EPC alongside Power Transmission and Distribution services. The subsidiary currently has nil turnover as it is yet to commence operations, and capital subscription is in cash. This marks an initial step by the company (TTM revenue of ₹2,700 Cr) to establish an operational footprint in overseas markets.

Incorporated a 100% wholly owned subsidiary in New Zealand on August 14, 2026
Entity named RAJESH POWER SERVICES NZ LIMITED to operate in Electrical and Solar EPC
Current turnover is Nil as operations have yet to commence
Initial capital subscription to be made in cash as per incorporation documents

💡 Track subsequent disclosures regarding initial capital commitment, operational rollout, and any contract or tender wins secured in the New Zealand market.

Resignation of Independent Director Mr. Viral Deepakbhai Ranpura w.e.f. August 11, 2026

🟡 NEUTRAL ⭐ 4/10

MANAGEMENT 📅 12 Aug 2026, 02:58 PM

Mr. Viral Deepakbhai Ranpura has resigned from his position as an Independent Director of Rajesh Power Services Ltd, effective August 11, 2026. The resignation is attributed to personal and medical reasons, with the director confirming there are no other material reasons for his departure. Consequently, he has also stepped down from his roles in the Audit, Nomination and Remuneration, Stakeholders Relationship, and CSR committees. This change occurs as the company maintains a strong financial profile with TTM revenue of ‡2,700 Cr and a PAT of ‡240 Cr.

Resignation of Independent Director effective from August 11, 2026
Cessation of membership/chairmanship in 4 key board committees including Audit and CSR
Director confirmed no material reasons for resignation other than personal/medical occupancy
Company reported a high ROCE of 49.0% and TTM revenue of ‡2,700 Cr
Promoter holding remains stable at 72.7% as of March 2026

💡 Investors should monitor the company's upcoming filings for the appointment of a new Independent Director to ensure continued compliance with SEBI committee composition requirements.

₹362.83 Cr Order Win from PGVCL for Underground Cabling in Jamnagar

🟢 POSITIVE ⭐ 7/10

EXPANSION 📅 04 Aug 2026, 06:40 PM

Rajesh Power Services Limited has secured a significant turnkey EPC contract worth ₹362.83 crore from Paschim Gujarat Vij Company Limited (PGVCL). The project involves converting existing 11kV HT and LT overhead lines into an underground cable network in the Jamnagar circle of Gujarat. This order represents approximately 13.4% of the company's TTM revenue of ₹2700 crore and 22.3% of its FY26 revenue. The scope includes advanced components like GIS mapping and asset tagging, which aligns with the company's focus on smart grid solutions.

Secured a turnkey order worth ₹362.83 crore (including taxes) from PGVCL.
Project involves converting 11kV HT and LT lines to an Underground Cable Network with Ring Main System.
Order includes specialized services such as GIS mapping and asset tagging in the Jamnagar circle.
The contract value is equivalent to ~22.3% of the company's FY26 revenue of ₹1628 crore.
Reinforces the company's leadership in the Gujarat 'Option 3' deposit work model.

💡 Investors should monitor the project's execution timeline and its impact on operating margins, as raw materials like cables and transformers typically account for 70-80% of costs in such EPC contracts.

Rs 362.82 Cr Order Win from PGVCL for Underground Cabling in Jamnagar

🟢 POSITIVE ⭐ 7/10

EXPANSION 📅 04 Aug 2026, 09:39 AM

Rajesh Power Services has secured a significant turnkey contract worth Rs 362.82 crore from Paschim Gujarat Vij Company Limited (PGVCL). The project involves converting existing 11 kV HT and LT overhead lines into an underground cable network with a Ring Main System in Jamnagar. This order represents approximately 13.4% of the company's TTM revenue of Rs 2,700 crore and about 22.3% of its FY26 revenue. The execution timeline is set for 24 months, providing solid revenue visibility through mid-2028.

Total order value of Rs 362.82 crore including taxes
Execution period of 24 months for the turnkey project
Project covers conversion of 11 kV HT and LT lines to underground cabling in Jamnagar City-2 Division
Order awarded by a major state utility, Paschim Gujarat Vij Company Limited (PGVCL)

💡 Monitor the company's quarterly execution progress and operating margins, as material costs (cables/transformers) typically constitute 70-80% of project expenses and can impact profitability in fixed-price contracts.

₹75.05 Cr Order Win from RVPNL for GIS Substation in Rajasthan

🟢 POSITIVE ⭐ 6/10

EXPANSION 📅 27 Jul 2026, 11:30 AM

Rajesh Power Services has secured a turnkey contract worth ₹75.05 crore from Rajasthan Rajya Vidyut Prasaran Nigam Limited (RVPNL). The project involves the construction of a 132/33 kV, 2X50 MVA Gas Insulated Substation (GIS) and associated transmission lines in Jodhpur. The execution timeline is set for 18 months. This order represents approximately 2.78% of the company's TTM revenue of ₹2,700 crore, indicating steady order book replenishment and geographic diversification into Rajasthan.

Total order value of ₹75.05 Crores including taxes.
Execution timeline of 18 months for completion of all works.
Scope includes survey, supply, erection, testing, and commissioning of a 132/33 kV GIS Substation.
Contract awarded by a domestic state utility, Rajasthan Rajya Vidyut Prasaran Nigam Limited (RVPNL).
Project includes 2X50 MVA capacity and associated transmission lines.

💡 Monitor the execution progress over the 18-month timeline and observe if the company can maintain its 11-12% operating margins given that materials typically constitute 70-80% of project costs.

Rs 40.58 Cr Order Win from PGVCL for MVCC Installation in Jamnagar

🟢 POSITIVE ⭐ 5/10

EXPANSION 📅 22 Jul 2026, 10:14 AM

Rajesh Power Services Ltd has secured a turnkey contract worth Rs 40.58 crore from Paschim Gujarat Vij Company Limited (PGVCL). The project involves the supply, installation, testing, and commissioning of 11 kV Medium Voltage Covered Conductors (MVCC) in the Jamnagar Circle. This order represents approximately 1.5% of the company's TTM revenue of Rs 2,700 crore and is scheduled for completion within 12 months. The contract falls under the System Improvement (SI) Scheme, reinforcing the company's strong footprint in the Gujarat utility sector.

Order value of Rs 40.58 crore including taxes
Execution timeline of 12 months for the turnkey project
Contract involves 11 kV Medium Voltage Covered Conductor (MVCC) and allied items
Awarded by Paschim Gujarat Vij Company Limited (PGVCL) under the System Improvement Scheme

💡 Investors should monitor the execution timeline over the next 12 months and observe if the company can maintain its 11-12% operating margins given that material costs typically constitute 70-80% of such EPC contracts.

₹34.37 Cr Order Win from PGVCL and RVPNL for SCADA and Underground Cabling

🟢 POSITIVE ⭐ 7/10

EXPANSION 📅 17 Jul 2026, 10:20 AM

Rajesh Power Services has secured two domestic orders totaling ₹34.37 crores from state utilities in Gujarat and Rajasthan. The larger contract, valued at ₹21.57 crores from PGVCL, involves SCADA readiness and maintenance of Ring Main Units (RMUs) across three circles with a 12-month execution timeline. The second contract, worth ₹12.80 crores from RVPNL, is a turnkey project for converting a 220kV overhead line into an underground cable system in Jodhpur, to be completed in 9 months. These wins demonstrate the company's dual capability in specialized maintenance and infrastructure modification.

Total combined order value of ₹34.37 crores including taxes from two domestic utilities.
₹21.57 crore maintenance contract from PGVCL for SCADA readiness and RMU rectification in Bhavnagar, Jamnagar, and Rajkot.
₹12.80 crore turnkey contract from RVPNL for 220kV underground cabling and monopole installation in Jodhpur.
Execution timelines set at 12 months for the PGVCL project and 9 months for the RVPNL project.
Both orders were received in the normal course of business from domestic government entities.

💡 Monitor the execution progress over the next 9-12 months to ensure timely revenue recognition. Watch for the company's ability to maintain margins on the turnkey underground cabling project compared to the maintenance-heavy PGVCL contract.

₹3,741.79 Cr Order Book: Rajesh Power Services Reports Q1 Revenue and Major Project Wins

🟢 POSITIVE ⭐ 9/10

EXPANSION 📅 16 Jul 2026, 10:18 AM

Rajesh Power Services reported a strong Q1 FY26-27 with revenue of ₹436.62 crores and a massive unexecuted order book of ₹3,741.79 crores. The company secured two major projects totaling ₹864.8 crores, including its first entry into the Odisha market with a ₹211.68 crore transmission project. Additionally, it bagged a ₹653.12 crore distribution project in Gujarat. CRISIL has also upgraded the company's credit rating outlook to 'Positive' from 'Stable', reflecting improved financial stability.

Revenue from operations for Q1 FY26-27 stands at ₹436.62 crores
Unexecuted order book reached ₹3,741.79 crores as of June 30, 2026
Secured a ₹211.68 crore project from OPTCL, marking the company's entry into Odisha
Won a ₹653.12 crore underground power distribution project from PGVCL in Gujarat
Credit rating outlook revised to 'Positive' from 'Stable' by CRISIL (Rating: A-)

💡 Monitor the execution timeline of the ₹3,741.79 crore order book, as it represents several years of revenue visibility. Watch for margin sustainability as the company expands into new geographies like Odisha.

Rajesh Power Services to Participate in SME Investor Conference on July 18, 2026

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 15 Jul 2026, 06:00 PM

Rajesh Power Services Ltd has informed the exchange of its participation in the 'SME Investor Conference 2026' scheduled for July 18, 2026, in Surat. The event, organized by Finavenue x Torin Wealth, will involve in-person interactions with various investors and analysts. The company has stated that discussions will be based strictly on publicly available information and will not include any unpublished price sensitive information (UPSI). This is a standard procedural disclosure under SEBI (LODR) Regulations.

Event scheduled for July 18, 2026, in Surat
Organized by Finavenue x Torin Wealth SME Investor Conference
Interaction mode is in-person with various investors and analysts
Filing submitted on July 15, 2026, ahead of the event

💡 Investors should monitor the exchange for any investor presentations or transcripts that may be released following the conference to gauge management's commentary on business outlook.

₹363 Cr Bank Facilities: CRISIL Revises Outlook to Positive for Rajesh Power Services

🟢 POSITIVE ⭐ 9/10

REGULATORY 📅 15 Jul 2026, 03:42 PM

CRISIL has reaffirmed Rajesh Power Services' long-term rating at 'CRISIL A-' while upgrading the outlook from 'Stable' to 'Positive'. The total rated bank loan facilities have been significantly enhanced by ₹100 crore, bringing the total limit to ₹363 crore from the previous ₹263 crore. This enhancement includes a mix of Bank Guarantees and Cash Credit facilities across HDFC, ICICI, and Union Bank. The positive outlook indicates CRISIL's expectation of continued improvement in the company's business or financial risk profile over the medium term.

Total bank loan facilities enhanced by ₹100 Crore to a total of ₹363 Crore
Long-term rating outlook upgraded to 'Positive' from 'Stable'
Long-term rating reaffirmed at 'CRISIL A-' and short-term at 'CRISIL A2+'
Facility breakdown includes ₹212 Crore in Bank Guarantees and ₹151 Crore in Cash Credit
Rating letter remains valid until March 31, 2027

💡 Monitor if the positive outlook translates into a formal rating upgrade to the 'A' category in the next 12-18 months, which would likely reduce borrowing costs. Watch for the utilization of the additional ₹100 crore facility as a lead indicator for new project execution.

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💰 Financial Performance

Revenue Growth by Segment

The company reported a massive 276.2% YoY increase in standalone revenue from operations, reaching INR 1,072.07 Cr in FY25 compared to INR 284.97 Cr in FY24. For H1 FY26, revenue grew 104% YoY to INR 638 Cr, driven by the execution of a well-diversified order book in the EPC (Engineering, Procurement, and Construction) segment for power transmission and distribution.

Geographic Revenue Split

While specific regional percentages are not disclosed, the company maintains a dominant leadership position in Gujarat, particularly within the 'Option 3' deposit work model for GETCO (Gujarat Energy Transmission Corporation Limited). Operations are heavily concentrated in the Gujarat industrial belts serving clients in Dahej and Ahmedabad.

Profitability Margins

Net Profit (PAT) margins remained stable at 9.0% in FY25 (INR 97 Cr) and 9.2% in H1 FY26 (INR 59 Cr). This stability, despite a 276% revenue jump, indicates efficient scaling of operations. Gross margins are sensitive to raw material costs which constitute 70-80% of total sales.

EBITDA Margin

EBITDA margin stood at 11.6% in FY25 (INR 124 Cr) and improved to 13.2% in H1 FY26 (INR 84 Cr), representing a 126% YoY growth in absolute EBITDA. The margin expansion is attributed to better project execution and strategic diversification into higher-value substation and EHV cable projects.

Capital Expenditure

The company raised INR 160 Cr through its IPO in December 2024, with a significant portion allocated for capital expenditure and additional working capital to support its 40% growth target. Historical fixed assets (Property, Plant, and Equipment) were valued at cost less accumulated depreciation, with additions supporting the expansion of EPC capabilities.

Credit Rating & Borrowing

The company maintains a healthy financial risk profile with a gearing ratio of 0.07 times and an interest coverage ratio of 8.10 times as of March 31, 2025. Total outside liabilities to adjusted networth stood at 0.81 times, reflecting low reliance on external debt. Borrowing costs are minimized through promoter funding (INR 46 Cr unsecured loans) and healthy cash accruals.

⚙️ Operational Drivers

Raw Materials

Key raw materials include EHV/HV/LV Cables, Transformers, Solar Panels, and Switchgear components. Raw material and service costs represent approximately 70-80% of the total cost of sales, making the company highly sensitive to commodity price fluctuations.

Import Sources

Not specifically disclosed in the documents, though the company operates primarily within the Indian domestic market with a focus on Gujarat-based infrastructure projects.

Key Suppliers

Not specifically named in the documents; however, the company acts as an execution partner for major utilities and private giants, implying a supply chain geared toward high-voltage electrical equipment manufacturers.

Capacity Expansion

The company has a cumulative execution record of 2,500+ KMS of EHV Cable, 50,000+ KMS of MVCC, 100+ Air Insulated Substations, and 15+ Gas Insulated Substations. Expansion is focused on increasing the scale of EPC contracts rather than fixed manufacturing capacity.

Raw Material Costs

Cost of Goods and Services rose to INR 901.93 Cr in FY25 from INR 207.06 Cr in FY24, a 335% increase, slightly outpacing revenue growth due to the massive scale-up in project execution. Procurement is managed through tender-based bidding and strategic vendor relationships.

Manufacturing Efficiency

Efficiency is measured by project turnaround times. The company is trusted by clients like Asian Paints and Coca-Cola for completing critical power infrastructure within strict timelines to enable plant startups.

Logistics & Distribution

Distribution costs are integrated into EPC contract execution costs, as the company delivers turnkey power infrastructure directly to client sites.

📈 Strategic Growth

Expected Growth Rate

40%

Growth Strategy

Growth will be achieved through a 40% targeted CAGR by leveraging a well-diversified order book, expanding the 'Option 3' deposit work model in Gujarat, and scaling the operations of associate company HKRP Innovations Ltd in the smart grid and IoT space. The company is also transitioning to Ind AS to improve financial reporting and transparency for future fundraising if required.

Products & Services

EPC services for EHV/HV/LV underground cable networks, solar power plant setup, and substation construction (Air Insulated and Gas Insulated).

Brand Portfolio

Rajesh Power Services Limited (RPSL).

New Products/Services

Expansion into smart grid solutions and IoT-based power monitoring through HKRP Innovations Ltd, which is expected to grow at double digits with high PAT margins (18-20%).

Market Expansion

Increasing footprint in the private sector (industrial clients) and renewable energy (solar power) sectors to reduce dependency on government utility tenders.

Market Share & Ranking

Holds a 'strong leadership position' in the Gujarat 'Option 3' segment for private utility execution.

Strategic Alliances

Holds a 25.48% stake in HKRP Innovations Ltd (Associate Company) for technology-driven power solutions.

🌍 External Factors

Industry Trends

The industry is shifting toward underground cabling (EHV) and smart grids to reduce transmission losses. RPSL is positioned to benefit from India's energy transition and the modernization of power distribution networks.

Competitive Landscape

Intense competition from other EPC players in the T&D sector, necessitating aggressive bidding which can pressure margins.

Competitive Moat

The moat is built on 'Excellence at Execution' and a strong track record with 50,000+ KMS of MVCC and 2,500+ KMS of EHV cable laid. The trust of large private conglomerates (Aditya Birla, Asian Paints) acts as a barrier to entry for smaller contractors.

Macro Economic Sensitivity

Highly sensitive to India's energy transition and infrastructure spending. A slowdown in industrial expansion in Gujarat would directly impact the 'Option 3' project pipeline.

Consumer Behavior

Industrial consumers are increasingly demanding 'ready-to-use' power infrastructure with strict timelines to avoid operational delays.

Geopolitical Risks

Potential impacts from global supply chain disruptions affecting the cost of imported electrical components or solar cells.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Companies Act 2013 and technical standards set by GETCO and other state transmission utilities. Compliance with the Guidance Note on Audit of Internal Financial Controls is confirmed by auditors.

Environmental Compliance

The company is involved in setting up solar power plants, contributing to ESG goals. CSR obligation for FY25 was INR 31.37 Lacs.

Taxation Policy Impact

The company paid a tax expense of INR 2,703.07 Lacs in FY25 on a profit before tax of INR 11,432.82 Lacs, reflecting an effective tax rate of approximately 23.6%.

Legal Contingencies

The secretarial audit for the period ended March 31, 2025, reported no specific events or actions having a major bearing on the company's affairs, other than the IPO process.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the tender-based nature of the business (100% of revenue), where failure to secure new contracts could lead to a sharp revenue decline. Working capital blockage in retention money (INR 160-170 Cr) also poses liquidity risks.

Geographic Concentration Risk

High concentration in Gujarat; while providing a leadership moat, it exposes the company to state-specific regulatory or economic shifts.

Third Party Dependencies

Dependent on state utilities (GETCO) for project approvals and private industrial giants for 'Option 3' work.

Technology Obsolescence Risk

Risk is mitigated by the 25.48% investment in HKRP Innovations, ensuring the company stays current with smart grid and IoT trends in power distribution.

Credit & Counterparty Risk

Receivables are generally high-quality as they are due from reputed private corporates and government-backed utilities, though retention money creates a long collection tail.