PSP Projects Ltd Company Fundamental Analysis

PSPPROJECT PSP Projects Ltd is an Indian construction and engineering company engaged in industrial, institutional, government, residential and commercial infrastructure projects. Its services cover the complete construction cycle, including design, engineering, procurement, construction and mechanical, electrical and plumbing (MEP) works. The company has a strong presence in Gujarat and is expanding across Maharashtra, Rajasthan, Karnataka, Uttar Pradesh and Delhi. Its ability to execute large institutional and industrial projects, along with its precast construction facility, provides a competitive advantage. A significant development is Adani Infra's proposed acquisition of up to 30.07% stake from existing promoters, which could strengthen the company's access to large infrastructure opportunities. Q2 FY27 results, announced on 2 November 2026, showed strong execution growth. Consolidated revenue from operations increased 58% year-on-year to ₹1,113 crore, while EBITDA grew 38% to ₹69.15 crore. Net profit increased 87% to ₹30.11 crore. However, EBITDA margin declined to 6.21% from 7.10% in Q2 FY26, indicating pressure on operating margins. For H1 FY27, revenue increased 61% to ₹1,967 crore, EBITDA rose 66% to ₹124 crore and net profit surged 193% to ₹48.33 crore. The company's order book stood at ₹12,872 crore as of September 2026, providing substantial future revenue visibility. However, working-capital requirements deserve attention: trade receivables were approximately ₹809 crore, net unbilled revenue ₹632 crore and short-term borrowings approximately ₹238 crore. At the latest available market snapshot, the share price was around ₹692, market capitalisation approximately ₹2,741 crore and P/E around 37x based on trailing earnings. ROE was approximately 4.5% and ROCE 7.82%, which indicates that returns on capital are still relatively weak.