📌 At a glance:
Ashoka Buildcon delivered a surprise ₹432 Cr profit in Q4 FY25, up 73% YoY, despite revenue falling 11.7%. For the full year, standalone profit dropped 55% to ₹197 Cr — but margins exploded thanks to asset sales, deferred tax reversals, and good ol’ infra accounting magic. With an order book of ₹14,905 Cr and CMP ₹211, this Nashik-based builder is flexing like a budget L&T.
🏗️ About the Company
| Field | Details |
|---|---|
| Sector | Infrastructure, Roads (EPC, BOT, HAM), Solar, Buildings |
| Founded | 1993, Nashik |
| Business Model | Build + Monetise — EPC + Toll/Annuity + Asset Sales |
| Operating Zones | Roads, Rail, Bridges, T&D, Solar, Industrial EPC |
| Fun Fact | Built half your highways while no one paid attention 😎 |
They don’t sell cement. They sell IRR.
🧑💼 Key Managerial Personnel (KMP)
| Name | Role |
|---|---|
| Satish Parakh | Managing Director |
| Manoj Kulkarni | Company Secretary |
| SRBC & Co. LLP | Statutory Auditor |
📌 Audit Opinion: Clean
⚠️ Pending Issue: CBI case over Bihar project — still a ghost in the footnotes.
📊 FY25 Financials (Standalone & Consolidated)
| Metric | FY25 Standalone | FY24 Standalone | Q4 FY25 Consolidated |
|---|---|---|---|
| Revenue (₹ Cr) | ₹7,061.4 | ₹7,727.7 | ₹2,694.4 (↓11.7%) |
| EBITDA Margin | ~21% (est.) | ~17% | 28.9% (↑810 bps YoY) |
| PAT (₹ Cr) | ₹197.2 (↓55%) | ₹436.5 | ₹432.2 (↑73%) |
| EPS (Q4 Annualised) | ~₹17 | ||
| Net Worth (₹ Cr) | ~₹3,700 (est.) | ||
| CMP | ₹211 |
One-time tax reversals and asset sales = margin boost. But core EPC revenue? Flatlining.
📦 Balance Sheet Highlights
| Item | FY25 (Standalone) |
|---|---|
| Gross Debt | ₹1,405 Cr |
| Cash + Bank Balance | ₹889 Cr |
| Receivables | ₹1,211 Cr |
| Assets Held for Sale | ₹1,206 Cr |
| Order Book | ₹14,905 Cr |
⚠️ Receivables rising. Not alarming yet — but keep an eye on state gov delays.
🧮 Forward-Looking Fair Value (FV)
| Metric | Value |
|---|---|
| EPS (FY25 standalone) | ₹17 (Q4 annualised) |
| Industry P/E Range | 10x – 15x (infra average) |
| Edu FV Estimate | ₹170 – ₹255 |
| CMP | ₹211 |
| Verdict | Fairly valued to mild upside potential 🔍 |
If FY26 continues with margin improvement and project delivery, ₹250+ is fair game.
🛒 What Moved FY25?
- 🛣️ Sold BOT/HAM assets = ₹1,200+ Cr classified as held-for-sale
- 🧾 Deferred tax benefit = ₹80–90 Cr gain, won’t repeat in FY26
- 🏛️ CBI filed charge sheet in Bihar case — no provisions yet
- 🛠️ Order wins across roads, transmission, solar
- 🏦 SBI Macquarie stake sale ongoing — may impact valuations positively
⚙️ Segment Performance
| Segment | FY25 Revenue | Segment Profit (Est.) |
|---|---|---|
| EPC | ₹6,326 Cr | ₹2,922 Cr |
| BOT / HAM | ₹2,995 Cr | ₹8,031 Cr |
| Sale of Goods | ₹715 Cr | ₹4,194 Cr |
BOT/HAM segment is printing free cash flows now — a sign of a matured infra business.
🤡 EduInvesting Take
Let’s not kid ourselves.
Ashoka Buildcon has pulled off in 1 year what most infra companies hope to do in a decade:
- 🧮 Asset monetisation? ✔️
- 💸 Debt reduction? ✔️
- 🧾 Tax optimization? ✔️
- 💰 Q4 profit explosion? ✔️
- ⚖️ Legal drama? Of course ✔️
And it did all that without defaulting, diluting, or disappearing.
Ashoka isn’t just an EPC contractor. It’s a balance sheet hacker with a knack for divestment. Think IRB meets L&T Finance with better margins.
🔥 Risks & Red Flags
| Risk | Commentary |
|---|---|
| 🧾 Deferred Tax Reversal | Boosted PAT — not recurring |
| ⚖️ CBI Case | Bihar project under scanner — legal overhang |
| 🧱 60+ Subsidiaries | Structural complexity risk |
| 🧮 Receivables ↑ | ₹1,200+ Cr = working capital stretch |
| 🔁 Capex + Asset Sale Cycle | Needs perfect execution to avoid lumpy years |
📉 Cash Flow Summary
| Cash Flow Type | FY25 Estimate (₹ Cr) |
|---|---|
| Cash from Ops | ₹1,673 Cr |
| Cash from Investing | -₹625 Cr |
| Cash from Financing | -₹1,050 Cr |
| Net Cash Flow | Near-zero |
Classic infra hustle: earn it, reinvest it, pray the state pays on time.
🧠 Final Verdict
Ashoka Buildcon isn’t a “penny road stock” anymore. It’s an infra cash machine in disguise. Q4 proves it can print profit — if you ignore the one-offs and legal ghosts.
CMP ₹211?
Fairly valued if FY25 is a one-hit wonder.
Undervalued if FY26 delivers margin + order conversion + legal clarity.
🚦Verdict: Not a multibagger yet — but definitely a midcap with 4-lane potential.
🗓️ Published: May 26, 2025
✍️ By: Prashant Marathe
Tags: Ashoka Buildcon FY25 results, Q4 profit ₹432 Cr, infra stock India, asset monetisation, BOT segment, CBI Bihar case, roads EPC midcap, HAM asset sale, NSE:ASHOKA
