1. 🧠 At a Glance
ITD Cementation India Ltd (NSE: ITDCEM) is one of India’s fastest-growing EPC infra players with a unique foreign edge — it’s backed by the Thai giant ITD Bangkok (owns ~47%). From metro tunnels to marine ports, ITDCEM is everywhere your car will never go. Stock’s up 2x in 1 year, ROE is a juicy 22.4%, and PAT has tripled in 3 years. But at 8.4x book, is it still grounded — or running on concrete fumes?
2. 💥 Hook – India’s Infra Boom Has a Thai Accent
Infra bull runs usually feature L&T, IRCON, RVNL, NBCC…
But ITDCEM is that silent beast that dug metro tunnels while everyone was tweeting about Adani.
📈 The stock is up ~85% in 1 year, and over 10x from 2020 lows.
💸 Revenue has tripled in 3 years.
🏗️ Order book? Stronger than most NBFC balance sheets.
This isn’t a fluke. It’s compounding — with foreign engineering DNA and desi project chaos.
3. 🏗️ WTF Do They Even Do?
ITDCEM is a classic EPC player (Engineering, Procurement, Construction), but in niches that scare others:
- Urban Infra: Metros, tunnels, elevated corridors
- Marine Works: Jetties, ports, LNG terminals
- Airports, Dams, Highways, Urban Utilities
🧠 Key Differentiator? Their Thai parent brings global best practices — like not pouring cement into WhatsApp forwards.
Clients include:
- DMRC
- Chennai Metro
- Indian Oil
- Adani
- Indian Navy
- LNG players
Basically: they build the India you drive on, fly out of, and tweet angrily about when stuck in traffic.
4. 📈 Financials Overview – Profit, Margins, ROE, Growth
Let’s break it down like a demolition contractor.
| Metric | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue (Cr) | ₹2,728 | ₹3,809 | ₹5,091 | ₹7,718 | ₹9,097 |
| Net Profit (Cr) | ₹16 | ₹69 | ₹125 | ₹274 | ₹373 |
| OPM | 8% | 8% | 8% | 10% | 10% |
| ROE | 0.92% | 4% | 7.2% | 15.9% | 21.7% |
| EPS | ₹0.92 | ₹4.01 | ₹7.23 | ₹15.93 | ₹21.70 |
📌 CAGR Highlights:
- Revenue CAGR (5Y): 26%
- PAT CAGR (5Y): 38%
- EPS CAGR (3Y): 🔥 77%
This isn’t “cyclical” — it’s a breakout. And FY26 already has momentum (Q1 PAT: ₹114 Cr).
5. 📉 Valuation – Is It Cheap, Meh, or Crack?
| Metric | Value |
|---|---|
| CMP | ₹902 |
| EPS (TTM) | ₹21.7 |
| P/E | 41.6x |
| Book Value | ₹107 |
| P/B | 8.4x |
😅 Wait… 8.4x P/B for a construction company? That’s not concrete — that’s cocaine.
But consider:
- ROE is rising.
- Infra boom is peaking.
- Competitors like L&T trade at 5x BV, NBCC at 13x P/E with lower ROE.
🧮 Fair Value Range:
| Scenario | EPS | P/E | FV |
|---|---|---|---|
| Base | ₹24 (FY26E) | 30x | ₹720 |
| Bull | ₹26 | 40x | ₹1,040 |
| Crack | ₹30 | 45x | ₹1,350 |
🎯 FV Range: ₹720 – ₹1,040
🛑 ₹1,350 only if Modi 3.0 launches Moon Metro project.
6. 🔥 What’s Cooking – News, Triggers, Drama
- ✅ May 2025: Won $67.4M Ruwais LNG marine project.
- 👨💼 July 2025: New Senior VP – Navneet Kabra appointed.
- ⚖️ Arbitration with Insta Concretex for ₹11.3 Cr — usual infra squabble.
- 📞 Recent concalls hint at record order book, focus on marine infra.
- 📈 Q1FY26 profit ₹114 Cr — annualized EPS may cross ₹25.
Catalysts Ahead:
- Metro + Port infra expansion
- Government EPC capex
- Defence infrastructure (dry docks, jetties)
7. 🧾 Balance Sheet – How Much Debt, How Many Dreams?
| Year | Borrowings (₹ Cr) | Reserves (₹ Cr) | Total Assets (₹ Cr) |
|---|---|---|---|
| FY21 | ₹458 | ₹1,049 | ₹3,192 |
| FY24 | ₹889 | ₹1,477 | ₹5,917 |
| FY25 | ₹961 | ₹1,816 | ₹6,505 |
🧠 Debt-to-equity = moderate, but increasing.
🧱 Asset base grew ~2x in 4 years, showing scale-up.
Still, no red flags here — for infra, this is healthy.
8. 💵 Cash Flow – Sab Number Game Hai
| FY | CFO | CFI | CFF | Net Cash |
|---|---|---|---|---|
| 2023 | ₹471 Cr | ₹-438 Cr | ₹28 Cr | ₹61 Cr |
| 2024 | ₹704 Cr | ₹-419 Cr | ₹-123 Cr | ₹162 Cr |
| 2025 | ₹203 Cr | ₹-245 Cr | ₹-209 Cr | ₹-251 Cr |
🧠 FY25 CFO fell due to WC swings.
🧨 Capex still tight, most growth is funded internally.
Slight cash stress in FY25 — but nothing alarming (yet).
9. 🧮 Ratios – Sexy or Stressy?
| Ratio | FY23 | FY24 | FY25 |
|---|---|---|---|
| ROE | 7.2% | 15.9% | 21.7% |
| ROCE | 19% | 27% | 28% |
| Interest Coverage | ~2x | ~2.8x | ~3x |
| Cash Conversion Cycle | -78 days | -63 days | -64 days |
| Working Capital Days | 6 | 9 | 30 |
✅ ROCE of 28% — that’s L&T level alpha.
📦 Negative CCC — clients prepay before cement dries.
10. 🧾 P&L Breakdown – Show Me the Money
Let’s look at FY25’s full numbers:
| Metric | Amount |
|---|---|
| Revenue | ₹9,097 Cr |
| EBITDA | ₹868 Cr |
| EBITDA Margin | 10% |
| Net Profit | ₹373 Cr |
| EPS | ₹21.7 |
Quarterly Trend (Mar 2025):
- Revenue: ₹2,480 Cr
- PAT: ₹114 Cr
- EPS: ₹6.61 (🔥)
They’ve got the earnings engine firing on all cylinders.
11. 🥊 Peer Comparison – Who Else Is in the Game?
| Company | ROE | P/E | CMP/BV | Rev (Cr) | PAT (Cr) |
|---|---|---|---|---|---|
| L&T | 16.5% | 32x | 5.06x | ₹2.5L Cr | ₹15,225 Cr |
| KEC Intl | 12.1% | 42x | 4.48x | ₹21,846 Cr | ₹571 Cr |
| Kalpataru | 9.6% | 36x | 3.13x | ₹22,315 Cr | ₹562 Cr |
| NBCC | 25.9% | 52x | 12.8x | ₹12,039 Cr | ₹610 Cr |
| ITDCEM | 22.4% | 41.6x | 8.45x | ₹9,097 Cr | ₹373 Cr |
🧠 Insight: ITDCEM has the best combo of ROE + growth, but valuation is catching up — not cheap anymore.
12. 🔐 Misc – Shareholding, Promoters, KMPs
| Category | % Holding (Mar 2025) |
|---|---|
| Promoter (ITD Bangkok) | 46.64% |
| FIIs | 13.95% |
| DIIs | 6.14% |
| Public | 33.28% |
| No. of Shareholders | 1,02,140 |
🔑 FII holding has doubled in 2 years — institutions know where the cement is drying fastest.
Recent KMP appointment: Navneet Kabra as Sr. VP — a sign they’re building out the top bench for scale.
13. ⚖️ EduInvesting Verdict™
“This ain’t your average brick-and-mortar company — this is Thai-engineered compounding, tunneling profits through India’s infrastructure boom.”
🟢 What we like:
- Stellar revenue & profit CAGR
- Strong ROCE and ROE
- Order wins keep flowing
- Backed by a global parent
🔴 What we’re wary of:
- P/E is rich
- Book value multiple is bonkers
- Cash flow in FY25 was weak
🎯 FV Range: ₹720 – ₹1,040
CMP is ₹902 — not deep value, but not frothy either.
If FY26 delivers ₹25+ EPS, the ride ain’t over.
Watch this one like a civil contractor watches concrete curing — carefully, but with excitement.
✍️ Written by Prashant | 📅 5 July 2025
Tags: ITDCEM, ITD Cementation, EPC Infra, Construction Stocks, Metro Projects, Infra Boom, L&T Peers, EduInvesting, Civil Engineering, Tunnel Stocks
