SPML Infra Ltd

- SPML Infra Ltd. has not specifically mentioned any new fundraising plans through debt or equity in the provided transcript. - The company raised approximately Rs. 350 crore from promoters in the last 1 to 1.5 years, which is being partly utilized for CAPEX in BESS manufacturing. - The planned CAPEX for the BESS manufacturing unit is Rs. 175 crore, with Rs. 125 crore funded fully through equity already. - The company is confident in repaying existing debt (Rs. 700 crore owed to NARCL) through cash flow and arbitration awards, with Rs. 290 crore repaid so far. - No new debt or equity fundraising announcements were made during the call; focus remains on prudent financial management and utilizing existing funds for growth.

- SPML Infra is setting up a 2.5 gigawatt Battery Energy Storage System (BESS) manufacturing facility in Maharashtra with a total CAPEX of Rs. 175 crore in two phases; the first phase of Rs. 125 crore will be fully funded through equity. - The plant is expected to be commissioned by March 2026 or early FY 2026-27, with an anticipated 60%-75% capacity utilization a year after commissioning. - This manufacturing unit will supply battery packs for their EPC projects and will also sell to other companies using renewable energy. - Promoters have committed approximately Rs. 350 crore over the last 1-1.5 years, part of which is being utilized for BESS CAPEX. - The focus remains on critical sectors like water and clean energy, with continued investments to support growth in FY '26 and beyond.

- Targeting around 50% growth in both topline (revenue) and bottom-line (profit) for FY'26, subject to order inflow and execution timelines. - Current order book stands at approximately Rs. 3,000 crore with Rs. 2,571 crore in L1 orders expected to convert in Q1 and Q2 FY'26. - Large market opportunity with monthly water sector tenders worth around Rs. 10,000 crore; annual water sector potential exceeds Rs. 1 lakh crore. - Focused target of Rs. 3,000 to Rs. 5,000 crore in selected water projects. - BESS segment targeted revenue of Rs. 1,500 to Rs. 2,500 crore over the next few years, with a manufacturing plant expected to contribute Rs. 1,000 to Rs. 1,500 crore at full capacity. - Expect power and water business mix to reach around 50%-50% in coming years, up from current higher water proportion. - Improved order inflow anticipated as government bidding activities resume and new tenders emerge.

- The company targets a minimum EBITDA margin of 10% on new orders, with older orders at around 5%. - For FY'26, management expects approximately 50% growth in both topline (revenue) and bottom-line (profit). - FY'25 PAT grew 1.5x to Rs. 49 crore, with an EPS increase from Rs. 3.98 to Rs. 7.83, indicating strong earnings momentum. - With a robust order book of Rs. 3,000 crore and L1 orders of Rs. 2,571 crore expected to convert in Q1 & Q2 FY'26, revenue and profit visibility is strong. - The upcoming BESS manufacturing unit is expected to generate Rs. 1,000 to Rs. 1,500 crore revenue at full capacity with improved margins. - The company expects a balanced business mix of 50% power (including BESS) and 50% water going forward, enhancing profitability and growth prospects. - Overall, SPML Infra remains optimistic about substantial growth in earnings and margins in FY'26 and beyond amidst improving market conditions.

- Current order book as of 31st March 2025: Approximately Rs. 3,000 crore. - Orders under L1 status: Rs. 2,571 crore, expected to convert to confirmed orders in Q1 and Q2 of FY'26 in tranches. - Recent order wins include: - Konar Irrigation Project worth Rs. 617.98 crore (100% execution by SPML). - Rs. 258 crore consortium order from Chennai Metropolitan Water Supply and Sewerage Board (SPML’s share: 26%). - Bidding tenders ongoing worth more than Rs. 9,000 crore across India. - Future targets: - Rs. 3,000 to Rs. 5,000 crore in water business. - Rs. 1,500 to Rs. 2,000 crore in BESS segment. - Order execution timeline typically spans 2-3 years. - Order book includes Rs. 2,400 crore old orders (lower margin, to be executed in 2-3 years) and recent higher margin orders like Konar.