1. At a Glance
If Kolkata had a superhero in steel armour, it would probably look likeSkipper Ltd (₹510 per share, market cap ₹5,754 crore)— except this one doesn’t fly, iterects. Transmission towers, that is. WithQ2 FY26 revenue of ₹12,618 million (₹1,261.8 crore)andPAT of ₹449 million (₹44.9 crore), Skipper has once again turned its humble rebar dreams into profitable megawatts.
In the last quarter, Skipper reported13.7% YoY revenue growthand31.2% profit growth, maintaining a cool10% operating marginwhile juggling EPC projects, polymer pipes, and steel towers like a circus veteran. Itsorder book now stands at ₹8,820 crore, thicker than most PSU annual reports.
WithROCE at 24.4%,ROE at 14.2%, andDebt/Equity of 0.63, the company walks that fine line between aggressive growth and “don’t call the bank just yet.” Thestock P/E is 34x, which in the capital goods world translates to “the market expects you to keep building faster than India announces new power corridors.”
Skipper’s 3-year sales CAGR of 39% and profit CAGR of 73% are hard to ignore, even if your eyes glaze over numbers faster than Excel can scroll. Yet, with promoter holding steady at 66.5%, the Bansal family seems determined to make towers and pipes more fashionable than saree IPOs in Kolkata.
So, how did this Eastern workhorse climb into the top 10 global manufacturers of transmission structures? Let’s climb up (safely) and find out.
2. Introduction
Picture this: a family-run company from Howrah, welding its way fromPVC pipes to 800 kV power transmission towers, with a side hustle in EPC projects and a healthy sense of drama in every quarterly press release. That’sSkipper Ltd, the kind of company that loves steel almost as much as Indians love cricket.
Founded in 1981, Skipper started with polymer products before finding its true calling inengineering structures— basically, giant metallic Lego pieces that hold up the nation’s power grid. Today, it’s one of India’slargest T&D structure manufacturers, with a global presence in50+ countriesspanning Africa, the Middle East, and Australia.
Q2 FY26 results were less about surprises and more about steady execution: revenue crossed ₹1,260 crore, operating profit held its 10% margin, and the company quietly booked a₹106.79 million tax settlement(because in India, even superheroes must pay entry tax).
But the bigger story lies in theorder book— ₹8,820 crore worth of work, with66% from domestic T&D,23% from non-T&D infra, and11% exports. It’s not just about making towers; Skipper has evolved into a full-fledged EPC player, capable of executingup to 800 kV high-voltage projects.
And if that wasn’t enough, they’re adding75,000 MTPA capacitythis year with a₹200 crore capex, followed by another ₹200 crore next year. Clearly, someone at Skipper’s boardroom is treating “growth” like it’s a gym membership they actually use.
3. Business Model – WTF Do They Even Do?
At its core,Skipper Ltdhas three business segments:
- Engineering Products (77% of revenue)– The bread, butter, and steel plates of Skipper. This is where the company manufacturestransmission towers, monopoles, power poles, telecom towers, and solar mounting structures. Think of them as the skeletal system of India’s infrastructure. In 9M FY25, this segment grew a solid69% YoY.
- Infrastructure Projects (14%)– Skipper’s EPC wing, which builds power transmission lines, water projects, and railway electrification setups. This division grew86% YoY, which proves that India’s grid expansion isn’t just PowerGrid’s problem anymore. Skipper now executes projects up to800 kVand has started developingsubstation EPC capabilities— a lucrative niche that can electrify balance sheets faster than transformers.
- Polymer Products (9%)– The colourful sidekick of Skipper’s empire. It makesUPVC, CPVC, and SWR pipesfor agriculture and sanitation. Once a larger part of the business (19% in FY22), it’s now smaller but still vital. It’s alsoEastern India’s largest PVC pipe brand, with 31,000 retail touchpoints.
In essence, Skipper builds the frameworks that carry electricity and the pipes that carry water — a neat “power and plumbing” combo. Theengineering division brings the volume, theEPC division brings the contracts, and thepolymer business brings the branding muscle.
In a way, they’re like the Ambanis of Howrah: vertical integration, but with more steel and fewer weddings.
4. Financials Overview
| Metric | Q2 FY26 | Q2 FY25 | Q1 FY26 | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | ₹1,261.8 Cr | ₹1,109.9 Cr | ₹1,254 Cr | +13.7% | +0.6% |
| EBITDA | ₹130.7 Cr | ₹111.2 Cr | ₹127 Cr | +17.6% | +2.9% |
| PAT | ₹44.9 Cr | ₹34.2 Cr | ₹45 Cr | +31.2% | -0.2% |
| EPS (₹) | 3.27 | 2.49 | 3.96 | +31.2% | -17.4% |
Annualised EPS = ₹3.27 × 4 = ₹13.1 → P/E = ₹510 / ₹13.1 =38.9x
Commentary:Skipper’s revenue growth remains consistent, with a small sequential uptick even after scaling from a lower base. The company is managing to hold its10% operating margin, a commendable feat when steel prices and labour costs dance like Bollywood extras. ThePAT margin of 3.6%may look modest, but given the asset-heavy EPC nature, it’s fairly muscular.
5. Valuation Discussion – Fair Value Range (Educational Purpose Only)
Method 1: P/E ValuationAnnualised EPS: ₹13.1Industry average P/E: ~48x (based on peer median)Apply a realistic range (25x–40x):→ Fair Value Range = ₹13.1 × (25–40) =₹328 – ₹524
Method 2: EV/EBITDA ApproachEV = ₹6,499 Cr; EBITDA (FY25 TTM) = ₹492 CrEV/EBITDA = 13.2x (current)Fair range 10–14x → Implied EV = ₹4,920 – ₹6,888 CrSubtract net debt (₹801 Cr) → Equity value = ₹4,119 – ₹6,087 CrPer share (11.3 Cr shares):₹364 – ₹539
Method 3: DCF (Educational Estimate)Assuming 18% revenue CAGR for 5 years, terminal growth 4%, discount rate 12% → Fair range:₹400 – ₹560
✅Fair Value Range (Educational Purpose Only): ₹360 – ₹540 per share(This fair value range is for educational purposes only and is not investment advice.)
6. What’s Cooking – News, Triggers, Drama
Q2 FY26 has been an eventful quarter for Skipper — not the “corporate scandal” kind, thankfully, but the “entry tax and EPC orders” variety:
- Revenue at ₹12,618 million— record high.
- EBITDA ₹1,307 millionandPAT ₹449 million, maintaining healthy margins.
- Order book ₹8,820 crore, with ₹3,743 crore added during 9M FY25.
- Board approved a ₹106.79 million entry-tax settlement, proving that even profitable companies must sometimes “settle their dues.”
- Capex on track— ₹200 crore being invested to expand engineering capacity by 75,000 MTPA in Q4 FY25. Another ₹200 crore expansion planned for FY26.
- Rights Issue Completed (FY24)— boosted net worth to ₹1,258 Cr.
- Fundraising up to ₹600 crore approvedin Aug 2024 — ammo for future growth.
- Credit rating upgradesfrom Acuité and India Ratings, signalling improved financial muscle.
In other words: more orders, more steel, slightly more tax, but a cleaner balance sheet and a hungrier
