1. At a Glance – The “Silent Earner” of the Road Sector
Indus Infra Trust is that guy in the room who doesn’t talk much, doesn’t wear flashy clothes, but quietly pays everyone’s bills on time. Trading around ₹122 with a market cap of roughly ₹5,400 crore, this InvIT has stitched together eight operational NHAI HAM road assets and turned them into a predictable annuity machine. Q3 FY26 numbers were not fireworks-worthy—revenue of about ₹179 crore and PAT of ₹96 crore—but that’s exactly the point. This is not a momentum stock, it’s a “set calendar reminder for distribution date” instrument. Dividend yield sits near 5.4%, ROCE around 9.3%, and debt-to-equity at a manageable ~0.46. The roads are long, the concessions are longer, and the cash flows are designed to be boringly stable. If you’re looking for drama, go to smallcap infra EPCs. If you’re looking for scheduled cash drops, welcome to Indus Infra Trust.
2. Introduction – Roads That Don’t Trend on Twitter
Infrastructure trusts are not meant to trend on social media. They are meant to trend on your bank statement. Indus Infra Trust, earlier known as Bharat Highways InvIT, fits neatly into that category. Incorporated in 2022 and listed later, it came with a simple promise: acquire operational road assets under the HAM model and distribute steady cash flows to unit holders.
The HAM model itself is semi-government babysitting for private developers. You build the road, the government pays you annuities, traffic risk is muted, and if executed well, the biggest risk is paperwork—not demand collapse. Indus Infra Trust’s portfolio reflects this philosophy. Eight assets, spread across multiple states, already operational, with most having achieved final COD and a couple still at provisional COD with minor work pending.
The result? Zero annuity delays so far. Fifty-three annuities received without deductions as of late 2024. In a country where delayed payments are a national sport, that is not a small achievement.
So the question is simple: is this a low-risk yield play priced fairly, or a boring instrument hiding future dilution
and refinancing headaches? Let’s dig.
3. Business Model – WTF Do They Even Do?
Imagine owning toll roads, but without the headache of traffic projections, toll collections, and truck drivers fighting at plazas. That’s HAM.
Indus Infra Trust raises money from investors, parks that money into special purpose vehicles (SPVs) that own highway projects, and then collects annuity payments from NHAI over 15–20 years. These annuities are partially inflation-linked and backed by sovereign-like counterparties.
Cash flows move upward from SPVs to the InvIT. The InvIT then pays interest, services debt, and distributes surplus cash to unit holders as interest, dividend, or return of capital.
No toll risk.
No volume guessing.
No festival traffic math.
Just concrete, contracts, and coupons.
Their sponsor ecosystem includes AIPL and GR-linked entities, which brings execution credibility but also concentration risk—something to keep an eye on as the portfolio grows.
4. Financials Overview – Numbers That Don’t Shout, They Whisper
Quarterly Performance (Q3 FY26)
| Metric | Latest Qtr | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 179 | 210 | 123 | -14.9% | +45.5% |
| EBITDA (₹ Cr) | 122 | 149 | 81 | -18.1% | +50.6% |
| PAT (₹ Cr) | 96 | 119 | 59 | -18.9% | +62.7% |
| EPS (₹) | 2.18 | 2.72 | 1.34 | -19.9% | +62.7% |
Yes, YoY looks ugly. But that’s because previous quarters had one-off normalization effects post acquisitions. QoQ momentum is healthy.
Annualised EPS (Q3 average method avoided, using simple annualised latest quarterly EPS for indicative valuation):
₹2.18 × 4 ≈ ₹8.7 versus reported TTM EPS of ~₹9.6.
Below industry PE. Predictable cash. No hype premium.
Would
