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Saurabh Tyagi--Clovek,Advisory

24th Sep · SEBI Registration INA100014879

Desco Infratech: Strong Growth in City Gas Infrastructure

Desco Infratech continues to expand its presence in India’s city gas distribution infrastructure space, with a fresh ₹2.34 crore order from

ATGL
for MDPE pipeline laying and last-mile connectivity in Navsari. While the order itself is relatively small, it strengthens the company’s relationship with a major CGD operator and adds to its pipeline of recurring infrastructure work. Desco delivered a sharp improvement in financial performance during FY26. Revenue from operations increased 99% YoY to ₹118.78 crore, compared with ₹59.61 crore in FY25. Net profit increased 81% to ₹16.34 crore, while operating profit rose from ₹13.35 crore to ₹23.54 crore. The company’s operating margin, however, moderated from approximately 22.4% in FY25 to around 19.8% in FY26, despite the significant increase in revenue. This suggests that maintaining margins while scaling execution will remain important. EPS also increased to ₹21.30 from ₹11.80, reflecting the strong improvement in profitability.

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