Tata Projects, an engineering, procurement and construction firm, expects its order intake to double to over Rs 200 billion in the current fiscal. At the same time, the company expects revenue to grow in the low-mid double-digit range and net profit to rise in high double-digits, a top executive said.

 

Its current order book outstanding is at over Rs 400 billion, Managing Director Vinayak Pai said while interacting with the media. The company, which constructed the new Parliament building in New Delhi, booked orders worth Rs 103 billion in FY24 and ended the year with a standalone order book of Rs 367 billion. After two years of losses, the company reported a net profit of Rs 820 million last fiscal on revenue of Rs 177 billion. 

Pai ruled out any plans for a listing of the company in the near future saying that the focus was on achieving stability in its financial performance and sustained profitability. 

The company has a significant pipeline of project opportunities of around Rs 500 billion over the next six months, especially in the urban infrastructure sector. It is looking at metro projects in Bengaluru, Indore, and expansion of the Pune metro. 

One of its ongoing projects that will be completed next year is the Noida International Airport at Jewar in Uttar Pradesh. Micron’s advanced semiconductor facility in Sanand, that Tata Projects had bagged in 2023, is also nearing completion as well as a maritime heritage museum at Lothal in Gujarat. 

Two projects that it has just started working on are the semiconductor facility of Tata Electronics in Dholera and battery manufacturing facility of another Tata group firm Agratas in Sanand. Currently around 10-12 per cent of its orderbook was from Tata group firms and Pai said this percentage would rise as the Tata group was getting into more areas such as semiconductors. 

One of the biggest projects that the company is engaged in, as part of a consortium, is redevelopment of BDD chawl in Worli, Mumbai. The Rs 117 billion project was started in 2018 and will be fully completed in another 5-7 years. The first phase is expected to be delivered in the next two years. 

Apart from urban infrastructure, Tata Project has a significant portfolio of projects in the metals and steel manufacturing sector, power transmission, refining and hydrocarbon. Opportunities are being seen in emerging areas such as renewable energies and data centres. 

“Right now we see a huge opportunity in terms of India moving to be a manufacturing hub of the world,” said Pai. He pointed out that the company’s vision focused on predictable project delivery and building things sustainably.