Pasal Wealth
Desco Infratech Limited
A Gujarat-based EPC contractor focused on city gas distribution pipelines, renewable energy, and power infrastructure — with FY25 revenue up +102% YoY and net profit up +173% YoY. Rated IND BBB (Stable) by India Ratings.
Company Description
Desco Infratech is an engineering, planning, and construction company focused on city gas distribution (CGD) pipelines, renewable energy infrastructure, water, and power sectors. It executes EPC contracts for pipeline laying, cable laying, solar installations, and related civil infrastructure.
The company was originally incorporated on January 19, 2011 as Desco Infratech Private Limited in Gujarat, converted to a public company and renamed Desco Infratech Limited on July 26, 2024.
Key clients and recent orders include: GAIL Gas (underground MDPE pipeline for Bengaluru CGD), Gujarat Gas, Sabarmati Gas, KP Energy, Sun Drops Energia (₹39.34 Cr EPC contract), and Viviana Power Tech — a diverse client base across gas utilities and renewable energy developers.
India Ratings & Research assigned IND BBB (Stable) and IND A3 to the company's ₹11 Cr bank loans — reflecting experienced promoters, a robust order book, and healthy EBITDA margins, tempered by project execution risks inherent to EPC businesses.
We reached out to Desco Infratech management with four plain questions. When they respond, answers will appear here in full, unedited, clearly labelled as management's own words.
Company Numbers
Source: Public exchange filings and company financial data, as reported. Verify against latest filings before relying on any figure here.
Worth watching: Revenue of ₹59.45 Cr in FY25 against a trailing twelve-month figure of ₹119 Cr from Screener suggests significant recent acceleration — verify the most recent quarterly filings on NSE/BSE to confirm this trajectory. Zero dividend, consistent with a growth reinvestment phase. EPC businesses carry inherent project execution and working capital risks.
Company Performance
Source: Business Standard (FY25 results), Tickertape, Screener, and verified exchange disclosures. FY25 net profit ₹9.06 Cr on revenue ₹59.45 Cr — both up sharply YoY. Trailing twelve-month revenue of ~₹119 Cr from Screener reflects more recent filings beyond FY25. Verify all figures against the company's latest NSE/BSE exchange filings.
Why almost nobody's looked at this yet
- 01City gas distribution is a structurally growing sector — this EPC play is almost invisible. India's CGD network expansion (PNGRB-mandated across 295+ geographical areas) requires years of pipeline laying work. Desco is executing this work for GAIL Gas, Gujarat Gas, and Sabarmati Gas — yet has near-zero analyst coverage.
- 02Incorporated 2011, public company status only since July 2024. Over a decade of operating history, but less than two years of public company track record. Most screeners show an incomplete picture.
- 03₹163 Cr market cap with 25.22% ROE and IND BBB credit rating. A profitable, credit-rated EPC company at a sub-₹200 Cr market cap is structurally invisible to institutional research. This is the exact profile of businesses Pasal Wealth's screen targets.