Cemindia Projects, a small-cap company of the Adani Group is in the business of constructing complex structures like data centers, tunnels, expressways, and breakwaters.
And this year, it is targeting to grow its revenues by at least 25%.
It mainly focuses on complex EPC projects as they have a better margin profile. For instance, from Mumbai and Kolkata to Jaipur, it has done tunneling work for all the metros.
Adani acquired it one year ago, and since it came under the group, Cemindia has benefitted
from fresh order wins, as well as, sub-contracting works from the Adani Group itself. Like, in
the past year alone, they have secured major projects such as a ₹3,098 crore road project in
Munger, Bihar, and a ₹1,575 crore container terminal project for Adani’s Mundra Port. As a
result, their order book itself has grown by 34% YoY.
Now, although it has done well after hitting bottom in March, it is still trading at a P/E ratio of
25.
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