Desco Infratech Ltd Q4 FY26 Results & Concall Highlights: Revenue, Margins & Order Book
Published 28 May 2026 | Construction | Market Cap: ₹144 Cr
Desco Infratech Limited expects significant revenue growth, targeting INR 1,000 crores by FY2030, possibly achieving this a year earlier. The company projects a revenue growth of 70% to 80% year-on-year for the next 2 to 3 years.
From Desco Infratech Ltd's Q4 FY26 earnings-call transcript · updated 23 Aug 2026.
Price
₹184
Market Cap
₹144 Cr
P/E Ratio
8.8
Revenue Rank
Margin Rank
How does Desco Infratech Ltd rank in Construction?
Compare Desco Infratech Ltd against every Construction company this quarter on revenue, margins and earnings-call signals.
📊 Revenue & Sales Performance
Rank 1- →Desco Infratech Limited expects significant revenue growth, targeting INR 1,000 crores by FY2030, possibly achieving this a year earlier.
- →The company aims for a conservative annual growth rate of 70% to 80% over the next 2 to 3 years.
- →CGD (City Gas Distribution) business will contribute 60% to 65% of revenue, with the balance from power distribution and solar EPC sectors.
- →Compressed Biogas (CBG) revenues are expected to reach around INR 170 crores by FY2030.
- →The company is expanding CBG capacity from 2 tons per day (commissioned in Q1 FY26) to 15-20 tons per day within 18 months.
- →FY27 guidance includes 70% to 80% year-on-year growth in top line.
- →The company focuses on margin optimization and sustainable growth through selective project acquisition.
📈 Profitability & Margins
Rank 3- →The company projects a revenue growth of 70% to 80% year-on-year for the next 2 to 3 years.
- →PAT margin is expected to remain sustainable around 22% to 23%.
- →Earnings per share (EPS) increased by 33% in the latest period.
- →Operating EBIT grew by 76.3% year-on-year.
- →Profit after tax increased by 80.87% year-on-year.
- →Breakeven for the new compressed biogas (CBG) plants expected within 18 to 20 months.
- →The company aims to achieve INR 1,000 crores revenue by FY2030, possibly a year earlier.
- →Improved margin profile anticipated as projects mature and cost controls are tightened.
- →Operating cash flow expected to turn positive within the next 1 to 2 years due to better working capital management and project execution.
- →Debt-to-equity ratio to remain stable, supporting profitable growth without excessive leverage.
🏗️ Capital Expenditure Plans
Yes- →Commissioning of a 2 tons per day (TPD) compressed biogas (CBG) plant in Q1, with a capex of approximately INR 3.5-4 crores.
- →Planned expansion of CBG capacity to 15-20 TPD within the next 18 months.
- →Capex around INR 12-15 crores expected for South Gujarat project and INR 9 crores for Madhya Pradesh Dhar project, totaling about INR 25 crores for combined expansions.
- →Intent to increase promoters' stake in Shri Green Agro Energies Private Limited (SGAEPL); eventual merger with Desco Biogreen Private Limited planned after commissioning 5 TPD capacity.
- →No current equity raising planned; funding for capex and expansions to be raised through bank loans (debt), with expected interest rates of 8.5%-9.5%.
- →Signed MOU for green hydrogen project, currently in early stages due to high production costs; expected to become profitable with solar park integration over next 5 years.
💰 Fundraising & Capital Structure
Yes- →The company plans to raise funds primarily through bank loans (debt financing) for upcoming capex projects, such as enhancing Gujarat capacity and establishing Madhya Pradesh capacity for CBG plants.
- →No comments or plans on equity raising at present.
- →Current debt cost is high (16%-17%), but after structuring, the expected cost of debt is around 8.5% to 9.5%.
- →Management aims to repay high-cost NBFC loans using internal accruals.
- →Debt-to-equity ratio currently at 0.2, may increase to a maximum of 0.3 in the next 1.5 years due to structured debt for growth.
- →Approach to financing remains balanced and prudent; financing instruments are used for efficiency, not for aggressive leveraging.
📋 Order Book & Pipeline
Yes- →As of the latest data, the company has an order book of INR 345 crores.
- →Out of this, around INR 330-332 crores are from the City Gas Distribution (CGD) sector.
- →The CGD orders include approximately INR 35-40 crores for operation and maintenance with timelines of about 24 months.
- →The rest of the CGD orders are EPC projects with execution timelines of 18 to 24 months.
- →Power distribution sector orders make up the remaining portion of the order book with an average timeline of 1 year.
- →There is a pipeline of tenders worth about INR 650 crores, with roughly INR 470-480 crores in CGD and INR 100 crores from solar EPC solutions and power distribution.
- →Some tenders are delayed due to Middle East crisis issues but are expected to open soon, likely boosting the order book.
Key Metrics
Revenue
Margin
Capex
Fundraise
Order Book
Frequently Asked Questions
What were Desco Infratech Ltd Q4 FY26 results?
Desco Infratech Limited expects significant revenue growth, targeting INR 1,000 crores by FY2030, possibly achieving this a year earlier. The company projects a revenue growth of 70% to 80% year-on-year for the next 2 to 3 years.
What is Desco Infratech Ltd share price analysis?
Desco Infratech Ltd currently shows a strong growth signal based on ranking data. The stock trades at a P/E of 8.8 with a market cap of ₹144 Cr. Investors should review the full earnings analysis for detailed insights.
Is Desco Infratech Ltd planning capital expenditure?
Commissioning of a 2 tons per day (TPD) compressed biogas (CBG) plant in Q1, with a capex of approximately INR 3.5-4 crores.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.