Telge Projects Q3 FY26 Earnings Analysis

- Target to achieve monthly execution capacity of INR 4.5 to 5 crores starting January, reaching steady state within 3 to 6 months (Page 13). - Expect FY'26 revenue to close in the range of INR 37 to 38 crores, entirely organically (Page 13). - Targeting 70%-80% year-on-year revenue growth for FY'27, aiming for approximately INR 60 crore in revenue (Pages 8-9). - H2 FY'26 expected to be 25% to 30% higher in revenue compared to H1 FY'26, driven by recovery post external disruptions (Page 8). - Order book is continuously building with strong pipeline and RFQs, providing good visibility for future growth (Page 13). - Expansion into new geographies like Europe, Australia, and Southeast Asia alongside strong US focus supports growth (Pages 16-17). - Exploring new service lines (architecture, mechanical, electrical, plumbing) to increase ticket size and margins (Page 13).

- Telge Projects targets 70%-80% year-on-year revenue growth for FY'27, aiming to reach around INR 60 crore revenue. - EBITDA margins are expected to improve from H1 levels (~18%) to about 30%-35% in FY'27, driven by operating leverage and upfront investments in manpower and R&D. - The company made deliberate upfront investments in H1 FY'26 to boost capacity and capabilities, which will lead to higher margins and earnings in H2 and beyond. - Incremental revenue from inorganic growth/acquisitions is expected but specific figures are confidential and will be shared in future quarters. - EPS growth is anticipated to reflect the combined organic growth and margin expansion, though no exact EPS guidance was provided. - Quarterly unaudited results will soon improve investor visibility and transparency on growth and earnings trends.

- The company has made upfront investments in manpower, business development (BD) teams, IT, software, office premises, and subsidiary strengthening using IPO funds to support delivery and global expansion. - Expansion plans include opening a new office in Nashik starting January (likely before fiscal year-end), evaluating new office locations in Pune and Latur regions for cost-saving and capacity expansion. - Strategic inorganic growth includes evaluating acquisition of two US companies—one in architecture/MEP services and another in structural design—with at least one acquisition targeted to complete in FY'26. - R&D team (5 internal members plus external partners) is developing automation tools and AI-driven BIM dashboards to improve margins and scalability. - No additional funding beyond IPO proceeds expected for current acquisitions; IPO capital suffices. - Potential new plant expansion in Latur region is also under consideration.

- Currently, Telge Projects does not plan to raise any additional funds through debt for the acquisitions in consideration; the IPO proceeds will suffice for these opportunities. - The company may explore bigger acquisition opportunities in the future, which might require additional funds, but no immediate plans for this. - No mention of immediate or near-term fundraising through equity beyond the IPO. - IPO proceeds have been received recently and are being utilized primarily for manpower hiring and expansion. - No plans to seek better funds beyond what is currently available for at least the next financial year.

- Current confirmed order book: INR 10.4 crores - High probability orders in pipeline: INR 8 crores to INR 10 crores - Active Requests for Quotations (RFQs): INR 15 crores to INR 18 crores - Total portfolio: Around 80 active clients with 27 new customers onboard recently - Order book shows steady growth with month-on-month additions - Execution capacity targeted at INR 4.5 crores to INR 5 crores per month starting January - Projects have varied durations, from one month to over five months - Future outlook positive with strong RFQ pipeline, indicating growth in order book and revenue potential