1. At a Glance
If the Indian government ever decided to outsource its “pipes, bridges, and water tanks” obsession, Vishnu Prakash R Punglia (VPRP) would probably get the job… and then wait 350 days for the payment. With a ₹5,086 crore order book, presence across 10 states and 1 union territory, and a tender pipeline worth another ₹5,000 crore, this company is basically a civil contractor with a hydration fetish —76% of its business is water supply projects. The bad news? High debt, high receivables, and low patience for MES tender bans.
2. Introduction
VPRP started life in 1986 in Rajasthan, the land where water is scarcer than political stability. Fast-forward to FY25, and it’s an EPC player building pipelines, railway lines, roads, bridges, and irrigation canals for everyone from local municipalities to big central agencies.
Its bread and butter is water infrastructure — the kind of projects that make you wish for timely monsoons and even timelier government clearances. Then there’s its railway segment (13% share), roads (6%), and irrigation works (5%) — basically everything an infrastructure czar would tick off in a Bharat Nirman wishlist.
The company is officially a Class “AA” contractor (no, not the alcoholics kind) with the Rajasthan PHED, flaunting a 500-plus fleet of construction equipment to keep execution in-house. But it’s not all glory: MES debarred it in 2021, it’s still fighting that case, and there’s an ongoing dispute with Indore Smart City Development. Because what’s infrastructure in India without a little court drama?
3. Business Model (WTF Do They Even Do?)
VPRP operates anintegrated EPC model, meaning it controls design, procurement, construction, and a good chunk of the logistics.
Revenue Segments:
- Water Supply Projects (76% in H1 FY25)– Pipelines, treatment plants, storage reservoirs, pumping stations.
- Railway Infrastructure (13%)– Track laying, overbridges, platforms, station civil works.
- Road Projects (6%)– Highways, flyovers, culverts.
- Irrigation (5%)– Canals, tunnels, pumping systems.
Order Book Mix:
- Water: 70%
- Railways: 25%
- Roads & Civil: 5%
This reliance on water projects means steady demand but also tender-driven margins and execution risks.
4. Financials Overview
| Metric | Latest Qtr (Jun’25) | YoY Qtr (Jun’24) | Prev Qtr (Mar’25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 276.41 | 256.56 | 405.06 | 7.74% | -31.75% |
| EBITDA (₹ Cr) | 31.91 | 33.58 | 45.69 | -4.97% | -30.15% |
| PAT (₹ Cr) | 7.01 | 14.76 | 16.24 | -52.51% | -56.85% |
| EPS (₹) | 0.56 | 1.18 | 1.30 | -52.54% | -56.92% |
Commentary:
- Revenue up marginally YoY, but margins tightened — likely due to slower billing and high fixed costs.
- PAT crash-landed over 50% YoY thanks to rising finance costs (+27% YoY) and execution delays.
- The QoQ drop is brutal — seasonality plus project timing issues.
5. Valuation (Fair Value RANGE only)
Method 1: P/E Multiple
- EPS (TTM): ₹4.07
- Reasonable sector P/E: 20x–25x
- FV Range: ₹81 – ₹101
Method 2: EV/EBITDA
- EBITDA (TTM): ₹154 Cr
- Net Debt: ~₹707 Cr
- EV/EBITDA range: 6x–7x → EV: ₹924 – ₹1,078 Cr
- Per share FV: ₹74 – ₹86
Method 3: Simplified DCF
- FCF hampered by negative operating cash flows in recent years; conservatively: ₹80 – ₹100/share
Educational FV Range:₹75 – ₹100This FV range is for educational purposes only and is not investment advice.
6. What’s Cooking – News, Triggers, Drama
- Order Book
