Salasar Techno Engineering posts 23.5% revenue growth in Q3 FY25

Salasar Techno Engineering Limited delivered a robust financial performance in the third quarter of fiscal year 2025, reporting a 23.5% year-on-year (YoY) increase in revenue. The company’s revenue rose to ₹3,751.8 million in Q3 FY25, compared to ₹3,038.8 million in Q3 FY24, reflecting strong execution of its growing power transmission projects and expansion in steel structure manufacturing.

Despite the revenue surge, earnings before interest, taxes, depreciation, and amortization (EBITDA) for the quarter declined to ₹317.2 million from ₹374.6 million in Q3 FY24, reflecting margin pressures. Net profit (PAT) also decreased, standing at ₹119.4 million, compared to ₹167.6 million a year earlier.

For the nine-month period ending December 31, 2024, Salasar Techno Engineering reported 13.0% YoY revenue growth, reaching ₹9,506.7 million, highlighting sustained momentum in its EPC business growth and infrastructure development projects.

What are the key business segments driving growth?

Salasar Techno Engineering operates across two primary business verticals—manufacturing and EPC (engineering, procurement, and construction). In the manufacturing segment, the company specializes in steel structure manufacturing, producing galvanized and non-galvanized steel structures for telecom, power transmission, and railway electrification. The company also fabricates heavy steel structures, such as bridges and transmission line towers.

In the EPC business, Salasar Techno Engineering provides end-to-end solutions for power transmission projects, power distribution networks, extra-high voltage (EHV) substations, and railway overhead electrification. Its expertise spans from design and manufacturing to installation and commissioning, ensuring seamless execution of complex infrastructure projects.

The company operates in multiple states, including Delhi, Haryana, Uttar Pradesh, Jharkhand, Himachal Pradesh, Assam, Gujarat, Rajasthan, Bihar, Odisha, Uttarakhand, and Arunachal Pradesh, among others. As of December 31, 2024, its order book stood at ₹21,979.7 million, reinforcing its revenue visibility for upcoming quarters.

How do recent acquisitions strengthen Salasar’s market position?

One of the major highlights of Q3 FY25 was the acquisition of EMC Limited, approved by the National Company Law Tribunal (NCLT). This acquisition significantly enhances Salasar Techno Engineering’s presence in the EPC business growth sector, leveraging EMC’s expertise in handling complex power transmission projects. The acquisition also includes prime properties and a solar power plant, backed by a Power Purchase Agreement (PPA) with NTPC, strengthening the company’s renewable energy portfolio.

Additionally, Salasar Techno Engineering announced a strategic merger with Hill View Infrabuild, aimed at consolidating resources, expanding technical capabilities, and improving efficiency. This merger aligns with the company’s long-term vision of strengthening its EPC business, allowing it to take on larger and more technically challenging projects.

How does the company’s order book reflect future revenue potential?

Salasar Techno Engineering’s diversified order book as of December 2024 stands at ₹21,979.7 million, covering steel structure manufacturing, power transmission projects, and railway electrification contracts. This order pipeline provides the company with strong revenue visibility and supports its ambitious growth plans.

The company continues to receive monthly telecom tower orders worth ₹300 to 350 million, further reinforcing its manufacturing segment’s stability. With the increasing adoption of monopoles in India—recognized for their smaller footprint and faster installation compared to lattice towers—Salasar Techno Engineering is well-positioned to become a key supplier in this evolving market.

What industry trends support Salasar Techno’s expansion strategy?

The Indian power transmission and distribution (T&D) sector is experiencing rapid expansion, fueled by government initiatives under the National Electricity Plan (NEP) and increased investment in renewable energy infrastructure. The growing focus on rural electrification and cross-border energy networks has created a strong demand for steel structure manufacturing and EPC solutions.

Salasar Techno Engineering is at the forefront of this shift, leveraging its in-house design capabilities and state-of-the-art manufacturing facilities to provide efficient and sustainable infrastructure solutions. The company holds key certifications, including ISO 9001:2015 for Quality Management, ISO 14001:2015 for Environmental Management, and ISO 45001:2018 for Occupational Health and Safety, reflecting its commitment to industry standards.

How is the company managing financial stability and debt reduction?

Salasar Techno Engineering remains committed to strengthening its financial position through debt reduction strategies. The company is following a structured long-term debt repayment schedule, which will significantly lower its financial liabilities over the coming quarters. By reducing its debt burden, Salasar aims to improve profitability, enhance its working capital efficiency, and support future expansion efforts.

What’s next for Salasar Techno Engineering?

Looking ahead, the company anticipates strong revenue and profit growth, targeting a compound annual growth rate (CAGR) of at least 20% over the next few years. Its strategic focus on EPC business growth, steel structure manufacturing, and power transmission projects positions it for continued market leadership.

Salasar Techno Engineering plans to expand its international footprint, strengthen its partnerships, and explore new opportunities in emerging infrastructure markets. With a solid order book, ongoing capacity expansion, and increasing demand for infrastructure solutions, the company is well-positioned for long-term success in the rapidly evolving power and telecom sectors.

A strong foundation for future growth

Salasar Techno Engineering’s Q3 FY25 performance underscores its strong market position, strategic expansion efforts, and operational excellence. With a robust order book, key acquisitions, and industry-tailored solutions, the company remains on track for sustained growth in the EPC and steel structure manufacturing sectors. As it continues to invest in technology, innovation, and market expansion, Salasar Techno Engineering is poised to drive the future of power transmission and infrastructure development in India and beyond.