| Reviewer | Recommendation |
| IPOWatch | May Apply |
| Ventura Securities Ltd. | Apply |
| Swastika Investmart Ltd. | Apply |
| Arihant Capital | Neutral |
| Capital Market | Neutral |
| SBICAP Securities Ltd. | Neutral |
| Dilip Davda | Not Rated |
Swastika Infra’s work includes underground cabling: installation and commissioning of high-voltage/low-voltage power cables, construction of substations, undertaking rural and urban electrification projects, installation of street lighting systems, and renewable energy.
For medium-term investment, this IPO might be a good fit. Overall, investors should carefully evaluate the company’s fundamentals, strengths, risks, and growth prospects before deciding whether to invest.
Strengths:
- As of July 2026, its order book has grown to â‚ą916.55 crore, compared to â‚ą687.44 crore at the start of FY26.
- The firm showed strong and consistent financial performance, showcasing revenue of â‚ą503.57 crore, EBITDA of â‚ą70.85 crore, and Net Profit of â‚ą41.43 crore as of FY26.
- Swastika Infra operates an asset-light model, allowing it to execute a large number of projects.
- Backed by a strong management team and experienced promoters with over 50 years of experience in the EPC industry.
Weaknesses:
- Most of its revenue is generated from projects given by the government. Any sudden changes in government policies, regulations, priorities, budgets, or project plans can negatively impact the business and cash flow.
- In FY22, its credit rating was downgraded from CARE BB; Stable (August 2021) to CARE BB-; Stable (March 8, 2022) by CARE Ratings Limited.
- The company’s projects are exposed to various execution risks and can be delayed, changed, or cancelled due to some reasons beyond its control. Also, in the last 3 financial years, the firm has experienced delays in completion of some of its projects. If continue can adversely impact the overall business and cash flow.
- In FY26, the firm has experienced a negative cash flow of â‚ą(9.65) crore and has experienced the same in the past 3 years. If continue to happen in the future can adversely affect the overall business and cash flow.
Disclaimer
Investors are advised to make their own decisions and apply entirely at their own risk. This article is written using information from the company’s RHP (Red Herring Prospectus) data and online sources. If you have any queries, kindly contact the IPO Watch Team.
