At a Glance
Simplex Infrastructures Ltd, the 100-year-old EPC warhorse, delivered Q1 FY26 results that made investors spill their tea. Revenue dropped 22% YoY to ₹282 Cr, but hey, at least there was a positive PAT of ₹43 Cr—thanks to ₹52 Cr of “other income magic.” Operationally, margins are thin like a budget airline seat (OPM 5%). The P/E? A ludicrous 589, because why not? Promoters are running for the exit (holding down to 35.9%), and contingent liabilities hover at ₹966 Cr like a storm cloud.
1. Introduction
Simplex is one of those old-school infra players that’s seen it all—booms, busts, and bankruptcy whispers. After years of losses and debt pile-ups, FY25 showed a surprising PAT of ₹12 Cr, and Q1 FY26 continued the turnaround act. But before you break into applause, remember: this revival is balancing on other income and equity infusions, not a rock-solid order book.
The stock has doubled in a year (108% gain), but with P/E at 589, investors are basically betting on divine intervention.
2. Business Model (WTF Do They Even Do?)
Simplex executes EPC and turnkey projects across:
- Transport: Roads, bridges, flyovers.
- Energy & Power: Transmission lines, substations.
