Vishnu Prakash R. Punglia Limited
Know the Company
Established in 1984 in Jodhpur, Rajasthan, Vishnu Prakash R Punglia Limited (VPRPL) is a renowned
engineering, procurement and construction (EPC) company with over three decades of experience in
designing and constructing infrastructure projects across India. The company has presence in 12 states
and Union Territories, in India, specializing in civil construction with a focus on installing pipelines, roads,
bridges, water tanks, and hospitals, etc.
OPEN AN ACCOUNT
Invest in stocks curated and picked by our research team.
The company holds prestigious registrations as a contractor with various government departments and
agencies, including the Jodhpur Development Authority (Class AA), Public Health Engineering
Department, Rajasthan (Class AA), Water Resources Department, Rajasthan (Class AA), Roads and
Building Department, Gujarat (Class AA), South Western Command, Military Engineering Services, Jaipur
(Class ‘S’), Public Works Department, Chhattisgarh (Class A), and Public Works Departments in Rajasthan and Madhya Pradesh (Class AA), etc.
VPRPL came out with an IPO in August 2024 to raise approximately Rs 308 crore for the purpose of
procuring equipment, working capital requirements, and general corporate purposes. Post-issue, the
promoter’s having 68% stake in the Company.
Segments that the Company Serves
VPRPL’s major business operations are categorized into four key areas: Water Supply Projects, Railway
Projects, Road & bridges Projects, Tunneling and Irrigation Network Projects.
Water Supply:
VPRPL has successfully executed numerous water supply projects across various cities and rural areas in
India. The company is dedicated to installing sustainable water management, which is crucial for
managing scarce resources effectively. Its project designs ensure the performance and quality of
drinking water networks while managing, protecting, and preserving water resources.
VPRPL addresses water supply related issues such as efficiency, safety, timely delivery, drainage, and
overall management with smart infrastructure and management practices as well as contributing to the
conservation of depleted resources by reducing wastage, leakage, and pilferage. Notable projects
completed by the Company includes the Hareda Regional Water Supply Scheme, Bulk Water Supply
Project Pali, RWSS Manaklao-Dantiwara-Pipar-Bilara Package-2 (B) for 32 villages & Pipar City, and the Atru-Shergarh Water Supply Project, etc.
Railways, Highways and Bridges:
VPRPL is a major player in infrastructure development for Indian Railways, managing projects across
diverse geographical locations in India. With decades of experience, the company excels in constructing,
developing, and maintaining railway infrastructure, including tracks, rail over-bridges, platforms, foot-
over bridges, Railway stations, and other ancillary works. In addition, VPRPL is a prominent developer
and constructor of highways, with extensive experience in building and maintaining state and national
highways, bridges, culverts, flyovers, and rail over-bridges.
Tunneling:
VPRPL has expanded into the tunnel construction sector, specially building tunnels for hydropower,
railways, metro systems, roads, and highways across India. The Company has proven project
management capabilities, extensive execution experience, cutting-edge technical expertise, and a skilled
workforce in this sector.
Sewerage:
VPRPL offers comprehensive wastewater management solutions and provides a robust framework
ensuring the long-term sustainability of its projects. The Company also addresses challenges of
sewerage infrastructure throughout its lifecycle by focusing on delivering sustainable, cost-effective, and
low-maintenance sewerage solutions. The company’s skilled team minimizes risks such as sewer
leakages, overflows, and unpleasant odors through their expertise.
Strengths
VPRPL is an integrated infrastructure development company with extensive experience in executing
major projects for Central and State Governments, local bodies, public sector companies, World Bank
projects, and private entities across more than 12 states and Union territories in India. The company
specializes in infrastructure development on an EPC basis, including operation and maintenance
activities. VPRPL’s principal business operations are related into high-growth areas, like Water Sector,
that includes projects such as dams, reservoirs, water treatment plants, water supply schemes,
pipelines, and irrigation channels. Company also engaged into Sewerage Sector, including sewerage
treatment plants and sewer tank drains. It also executing Projects for Railway’s encompassing railway
tracks, stations, platforms, and bridges. Construction & Road Sector works of the Company includes
development of roads and highways, bridges and flyovers, tunneling works, buildings warehouses, and
multi-dimensional smart city projects, etc.
VPRPL operates through in-house manufacturing facilities for the captive production of ready-mix
concrete, a crusher unit for stone crushing to prepare aggregates, and a hot mix plant for bitumen
processing. These in-house manufacturing capabilities enable the company to significantly reduce
project costs while maintaining high quality.
VPRPL is one of India’s fastest-growing Infrastructure Development Companies, with excellent track
record of exponential growth with a dedication to customer satisfaction and trustworthiness. The
growth of the business in the past couple of Years has contributed significantly to its financial strength.
The revenue from operations increased from Rs 485 crore in FY 2020-21 to Rs 1475 crore in FY 2023-24,
with a Compounded Annual Growth Rate (CAGR ) of over 50%, while the net profit for the period
increased from Rs 19 crore to Rs 122 crore, with a CAGR of over 110%.
VPRPL’s technical skills and project execution in infrastructure development are highly recognized by the Central Government, various states and public sector companies in India. The company’s commitment
to excellence, using advanced technologies and innovative processes, ensures that complex projects are
completed on time, with top quality and cost effectively.
Extensive Orderbook
In June 2024, VPRPL secured Rs 273 crore order from Uttar Pradesh Jal Nigam (Urban) for water supply
scheme in the Naini extended area of Nagar Nigam, Prayagraj. Earlier, in December 2023, the company
received orders worth Rs 900 crore from Uttarakhand, including a Rs 525 crore contract for developing a
water supply system in Haldwani and a Rs 374 crore contract for a similar project in Kotdwar. These
contracts also include 18 years of operation and maintenance. Additionally, in March 2024, VPRPL won a
Rs 104 crore project from HSIIDC Kharkhoda for constructing a 57 MLD water treatment plant at IMT
Kharkhoda, District Sonipat, with 120 months of operation and maintenance on EPC basis. As of June 30,
2024, the company’s outstanding unexecuted order book on hands stood at Rs 4,717 crore.
Outstanding Financial Performance
For Q4 FY24, VPRPL reported a revenue of Rs 657 crore and an operating profit of Rs 105 crore, with an
operating profit margin of 16%. The company’s net profit for the quarter was Rs 67 crore. For the
financial year 2024, VPRPL reported revenue of Rs 1,474 crore, up from Rs 1,168 crore in the previous
financial year, and net profit of Rs 122 crore, compared to Rs 91 crore in the prior year.
Bright Industry Outlook
VPRPL is engaged in executing projects which all are Government of India’s priority sectors, supported
by intensive investing. The water supply network industry in India is evolving rapidly, driven by the
country’s growing demand for water and the need to modernize and expand distribution network. The
Government of India is making significant investments to improve various infrastructure segments,
including railways, highways, etc. Central government schemes like the Jal Jeevan Mission aim to
provide safe and adequate drinking water through individual household tap connections. The
government also has been emphasis on capacity building and investment in infrastructure through
programmes such as AMRUT, Smart Cities, Namami Gange and Swachh Bharat, etc. Thus, the water
sector has a positive outlook and offers significant opportunities for various stakeholders including for
EPC players, private developers, consultants, technology and equipment suppliers. Several ambitious
projects related to infrastructure demonstrate the government’s commitment to transforming India’s
infrastructure landscape, driving economic growth, and improving citizens’ quality of life.
The government has consistently increased allocation for infrastructure development in the Union
Budget, with a significant jump in the last few years. National Infrastructure Pipeline aims to invest Rs
102 lakh crore in infrastructure projects by 2025, focusing on sectors like energy, roads, railways, and
urban development. Bharatmala Pariyojana, a flagship program for developing 83,677 km of roads,
highways, and greenfield expressways, with an investment of Rs 10 lakh crore and Railway
Modernization Plans to invest Rs 50 lakh crore by 2030 to modernize the railway network, including
high-speed rail, electrification, and station redevelopment, Smart Cities Mission etc. Government
initiatives like Public-Private Partnerships (PPPs) and asset monetization aim to attract private
investment in infrastructure development. The budgetary allocation of Rs 11.4 lakh crore to the
infrastructure sector allocated in the latest Budget also offers a promising outlook for the company’s
engaged in the infrastructure sector.
Risk Factors
VPRPL is engaged in executing projects in the infrastructure sector such as water supply, civil
construction including roads and bridges, and projects for the Indian Railways. These industries require
significant capital investment, particularly from government authorities. So, economic downturns or
changes in government spending priorities may adversely affect orders. Further, inadequate funding can
limit investment in new infrastructure, maintenance, and timely upgrades, may affect the order flow to
companies engaged in this sector. Additionally, delayed payments from state government bodies, which
are infamous for such issues, may impact the working capital requirements of companies in this sector.
Sector: Industrials
Market Price: Rs. 260.95 as on today
FV: Rs 10/-
Stock Name: Vishnu Prakash R. Punglia Ltd
BSE Code: 543974, NSE Code: VPRPL
Market Cap.: Rs 3453 Cr
Book Value: Rs. 57.8
Segment: Civil Construction / EPC Contractors
Incorporation: 1986
Headquarters: Rajasthan, India
