Salasar Techno Engineering Ltd, founded in 2006, has swiftly ascended from a tower manufacturer to a leading player in the steel structure manufacturing and EPC (Engineering, Procurement, and Construction) infrastructure industry. The company serves crucial sectors like telecom, energy, and railways, offering comprehensive services, including engineering, designing, fabrication, galvanization, and deployment.
With a robust pan-India presence and expanding operations in over 25 nations, including markets in Africa and Asia, Salasar Techno Engineering Ltd has established itself as a reliable partner to industry giants such as Airtel, Huawei, and Jio. The company’s consistent financial performance, coupled with its strategic expansions, highlights its potential to become a multibagger stock in the near future.
Take a glance at the balance sheet dashboard of the company and lets understand step by step
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Current Financial Performance and Historical Growth
Salasar Techno Engineering Ltd has demonstrated a steady growth trajectory, as reflected in its financial performance over recent years. The company has consistently improved its sales, operating profit, and net profit, all of which are key indicators of its financial strength and market positioning.
Key Financial Metrics (March 2025 Predictions vs. March 2018 – March 2024 Actuals)
- Sales: Sales have grown from ₹495 Crores in March 2018 to a projected ₹1,378.14 Crores by March 2025, showcasing the company’s successful execution of large-scale projects and an aggressive growth strategy.
- Net Profit: The net profit, which stood at ₹30 Crores in March 2018, is expected to nearly double to ₹60.21 Crores by March 2025, indicating effective cost management and strong market presence.
Operating Profit Margin (OPM)
The company has maintained a healthy OPM, ranging from 9.61% in March 2021 to a projected 10.52% in March 2025, demonstrating resilience in managing operational efficiency.
Earnings Per Share (EPS)
EPS is projected to increase to ₹0.36 by March 2025, up from ₹0.22 in March 2018, reflecting stronger returns for shareholders.
Return on Equity (ROE)
After an initial decline from 18.87% in March 2018 to 10.00% in March 2023, the ROE is expected to recover to 12.33% by March 2025, driven by improved capital utilization and profitability.
Asset and Liability Distribution
Salasar Techno Engineering Ltd’s asset and liability distribution highlights its strategic financial management. The company’s assets are predominantly made up of fixed assets valued at ₹897 Crores, which underscores significant investments in infrastructure and manufacturing capabilities. These assets are vital for supporting its large-scale operations across various sectors.
On the liability side, the company maintains a balanced approach with borrowings amounting to ₹290 Crores, ensuring sufficient leverage for growth initiatives. Additionally, equity capital stands at ₹350 Crores, reflecting a strong capital base that supports ongoing expansions and operational stability. This well-structured asset and liability distribution positions Salasar Techno Engineering Ltd for sustained growth and financial resilience.
Why Salasar Techno Engineering Ltd Has Multibagger Potential
- Strategic Market Positioning: The company’s strong foothold in high-growth sectors like telecom, energy, and railways, combined with its end-to-end infrastructure solutions, positions it to benefit significantly from India’s infrastructure development.
- Robust Order Book: With substantial domestic and export orders, Salasar Techno Engineering Ltd is set for continued revenue growth. The order book for H1FY24 includes ₹1,009 Crores in domestic EPC orders and ₹211 Crores in export EPC orders, reflecting strong demand for its services.
- Capacity Expansion: The company’s ongoing capital expenditure plans, including a new zinc plant and a heavy steel structure manufacturing plant, are expected to boost production capacity and efficiency, further supporting its ambitious growth targets.
- Collaborations and Joint Ventures: Strategic collaborations with global leaders like Ramboll and joint ventures such as Salasar Adrous LLP demonstrate the company’s commitment to technological excellence and expansion into new markets, including rail infrastructure.
- Strong Financials: With consistent sales growth, healthy profit margins, and improving EPS and ROE, Salasar Techno Engineering Ltd is an attractive investment for those seeking a potential multibagger.
Now checkout the performance of stock starting from 2018 to till date
The stock is currently trading at Rs16.93 it has potential to double its value and may reach upto Rs40-45 in near future.
Conclusion
Salasar Techno Engineering Ltd’s impressive track record, strategic market positioning, and robust financial performance make it a strong contender in the infrastructure space. With its ongoing expansion and strategic initiatives, the company has the potential to deliver substantial returns, making it a compelling candidate for investors looking for a potential multibagger.
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