Ideas Electricals & Engineers Limited IPO

01At a glance

What the company does: engineering, procurement and construction (EPC) of extra high voltage substations, transmission lines and electrical and instrumentation systems for power utilities and industrial plants, on a turnkey basis (AP p.2, DRHP p.118).

Who pays it: public sector undertakings, state electricity utilities, government bodies and private industrial customers; public sector undertakings were 54.54% of FY26 revenue and government bodies 11.30% (DRHP p.119). No customer is named. The top ten customers were 89.69% of FY26 revenue (DRHP p.25).

Why it is raising money: ₹9,130.00 lakh for working capital, ₹3,200.00 lakh in FY27 and ₹5,930.00 lakh in FY28, plus general corporate purposes capped at the lower of 15% of gross proceeds or ₹10 crore (DRHP p.86).

How fast it has grown: revenue from ₹17,001.07 lakh in FY24 to ₹25,780.26 lakh in FY26, about 23.1% a year, and profit after tax from ₹1,325.54 lakh to ₹2,317.92 lakh, about 32.2% a year (our arithmetic, DRHP p.56).

The one thing to understand: profit has not turned into cash. Operating cash flow was negative ₹1,158.16 lakh in FY26 against profit of ₹2,317.92 lakh, as receivables, customer retentions and deposits grew (DRHP p.57). The whole issue is earmarked for working capital (DRHP p.86).

02The business, in plain words

When a state power utility needs a new substation or a transmission line, it tenders the job. This company bids, and if it wins, it designs the substation or line, buys the transformers, switchgear, conductors and cables, builds the foundations and structures, erects and wires the equipment, and tests and commissions it. It is paid in stages as the work is certified.

A utility or plant owner tenders a substation, line or electrical package → the company bids and wins → it engineers the job, buys the equipment and hires labour and machinery → it builds, tests and commissions on site → it is paid against milestones, with a slice held back as retention until the defect liability period ends.

The firm began as the partnership Ideas Engineers in December 2008, became a private company on December 27, 2018 and a public company with a fresh certificate on April 13, 2026 (DRHP p.63). It says it has executed over 40 projects in the last five years and over 450 circuit kilometres of transmission lines (DRHP p.118, DRHP p.121). It holds a Class A electrical contractor licence in Maharashtra, Gujarat, Karnataka and Rajasthan (DRHP p.121).

It calls itself asset light: most plant and machinery for a project is hired from third parties (DRHP p.130). It had 672 permanent employees at June 30, 2026, of whom 518 were site operations workforce (DRHP p.131).

Revenue comes from five lines: substations up to 400 kV, 62.75% of FY26 revenue; transmission lines up to 220 kV, 18.07%; electrical and instrumentation services, 11.29%; electrical EPC for industrial plants, 5.88%; and other supplies, 2.02% (DRHP p.119).

Earnings equation: Profit ≈ contract value executed − equipment and materials − labour contractors and hired machinery − site staff − interest on working capital and guarantees. In FY26 purchases of material were ₹13,444.03 lakh and other expenses, mostly labour contracts and site costs, ₹7,329.63 lakh, against revenue of ₹25,780.26 lakh (DRHP p.56, DRHP p.242).

03Where the money comes from

Source: DRHP p.119. By customer type, public sector undertakings went from 34.15% of revenue in FY24 to 54.54% in FY26, government bodies from 7.52% to 11.30%, and private customers from 58.33% to 34.16% (DRHP p.119). By industry, power transmission and distribution was 42.43% of FY26 revenue, cement 22.31% and railways 15.20%, while sugar fell from 23.35% in FY24 to 1.13% (DRHP p.124).

By geography, Maharashtra was 73.94% of revenue in FY24, 45.97% in FY25 and 55.29% in FY26; Rajasthan was 14.70% and Uttarakhand 9.23% in FY26 (DRHP p.126). Exports were 7.73% of FY25 revenue, mostly Germany, and 0.40% in FY26 (DRHP p.118, DRHP p.126).

Source: DRHP p.25. Revenue depends on a few customers: ten of them paid about nine rupees in every ten in FY26. The document does not name them or give the largest one's share. On the supply side, the top five suppliers were 26.43% of FY26 purchases and the top ten 41.96% (DRHP p.26).

04The growth record

Source: DRHP p.56, DRHP p.57, DRHP p.95. Total borrowings were ₹1,327.15 lakh, ₹1,478.26 lakh and ₹3,104.30 lakh (AP p.13). Return on equity was 28.21%, 24.84% and 29.61%, and return on capital employed 29.77%, 26.20% and 28.18% (DRHP p.95). ROCE was 28.2% in FY26 (DRHP p.95). The EBITDA margin moved from 10.7% in FY24 to 12.5% in FY26 (DRHP p.95).

Our arithmetic over FY24 to FY26: revenue grew about 23.1% a year and profit after tax about 32.2% a year (our arithmetic, DRHP p.56). EBITDA grew about 33.0% a year, the EBITDA margin rose 178 basis points and the PAT margin 119 basis points (our arithmetic, DRHP p.95). Almost all of it came in one year: revenue rose 4.58% in FY25 and 44.99% in FY26 (our arithmetic, DRHP p.56).

Worth reading alongside the table:

• Operating cash flow was negative in FY26, an outflow of ₹1,158.16 lakh, or about −₹11.6 crore (DRHP p.57).
• Other income was 7.5% of profit before tax in FY26, ₹234.39 lakh against ₹3,115.56 lakh (our arithmetic, DRHP p.56).
• Net debt to EBITDA was about 0.3 times at March 2026: borrowings of ₹3,104.30 lakh less cash and bank balances of ₹2,159.05 lakh, over EBITDA of ₹3,212.98 lakh (our arithmetic, DRHP p.54). Part of that cash is fixed deposits held under lien against bank guarantees (DRHP p.211).
• Receivable days were 38 in FY24, 91 in FY25 and 71 in FY26 (DRHP p.27).
• Contingent liabilities at March 2026 were ₹5,772.23 lakh, all bank guarantees given to customers (DRHP p.59).
• The restatement cut FY26 profit after tax from ₹2,448.45 lakh in the audited accounts to ₹2,317.92 lakh, a reduction of ₹130.53 lakh (DRHP p.194).

The figures are the restated standalone statements; the one subsidiary, incorporated in February 2026, has applied to be struck off (DRHP p.152).

05What the growth is made of

Execution of more contract value, concentrated in substations and transmission lines. Revenue rose ₹7,999.71 lakh in FY26, of which substations accounted for ₹7,004.50 lakh and transmission lines ₹2,533.93 lakh, which the company attributes to higher execution of EPC contracts (DRHP p.241). Revenue from power transmission and railways rose ₹8,295.80 lakh, or 126.45%, while sugar, solar and ethanol fell (DRHP p.242).

The company links this to winning more tenders: it won 12 of 25 tenders in FY26, a 48.00% bid to win ratio, against 9 of 26 in FY25 and 8 of 23 in FY24 (DRHP p.27). Revenue is also lumpy within a year: the January to March quarter was 36.74% of FY26 revenue and 43.84% of FY25 (DRHP p.33).

An EPC contractor has no volume and price in the usual sense, and the offer document does not disclose contract margins by project or by line, so the increase cannot be separated into more work, better pricing and mix. That is the finding.

06Earnings quality

The one that needs explaining is cash. Over three years profit was ₹5,117.27 lakh and operating cash inflow ₹1,726.85 lakh (our arithmetic, DRHP p.56, DRHP p.57). In FY26 alone short-term loans and advances rose ₹2,231.66 lakh, receivables ₹677.53 lakh and retention held by customers ₹651.31 lakh, while payables fell ₹545.42 lakh (DRHP p.57). The short-term loans and advances line is mostly not loans: it holds ₹2,690.55 lakh of retention money receivable from customers and ₹907.45 lakh of deposits (DRHP p.211). This is how the business is paid, a portion held back until the work is accepted, and the document says the working-capital need will grow with larger projects (DRHP p.27).

The restatement is the second item. It added a doubtful-debt provision policy for receivables over a year old, re-valued stock and recognised gratuity and leave liabilities, taking ₹332.71 lakh off opening reserves at April 1, 2023 and ₹130.53 lakh off FY26 profit (DRHP p.194, DRHP p.195). Receivables of ₹525.65 lakh were classed as doubtful at March 2026, ₹276.00 lakh of them over three years old, against a provision of ₹364.98 lakh (DRHP p.210).

07The balance sheet

At March 31, 2026 total assets were ₹17,080.67 lakh: trade receivables ₹5,038.02 lakh, short-term loans and advances ₹4,643.01 lakh, cash and bank balances ₹2,159.05 lakh, other non-current assets ₹1,929.83 lakh, inventories ₹1,488.99 lakh, long-term loans and advances ₹837.36 lakh and property, plant and equipment of only ₹484.61 lakh (DRHP p.54).

Borrowings were ₹3,104.30 lakh: a cash credit line from HDFC Bank with ₹2,028.85 lakh drawn against a ₹2,500.00 lakh limit, vehicle and equipment loans of ₹136.25 lakh, Siemens Financial vendor finance of ₹306.36 lakh, and ₹632.85 lakh of unsecured loans from the four promoters at 9% to 12%, repayable in 2029 and 2030 (our arithmetic, DRHP p.231, DRHP p.233).

The lender's terms say those promoter loans are not to be withdrawn during the facility and are to be converted into equity when needed to keep net worth positive (DRHP p.233). The promoters have given personal guarantees for the bank lines, and property in their names is part of the collateral (DRHP p.231, DRHP p.232).

Off the balance sheet, bank guarantees were ₹5,772.23 lakh and letters of credit ₹1,343.96 lakh (DRHP p.233). The bank guarantees rose from ₹3,119.42 lakh at March 2024 (DRHP p.59). Capital commitments were ₹7.13 lakh, for an SAP system (DRHP p.59). The company owed two material creditors ₹1,298.24 lakh at March 2026 (DRHP p.252).

After the issue: up to 64,48,800 new shares against 1,57,62,500 in issue would take the count to 2,22,11,300 (our arithmetic, DRHP p.52). The price is not set, so the money raised and the balance sheet after the issue cannot be stated.

08What the money is for

Source: DRHP p.86. The working capital is to fund inventories, receivables and margin money for performance and security deposit bank guarantees, which run at about 3% to 10% of a work order's value (DRHP p.87, DRHP p.88). The requirement is management's estimate, certified by the statutory auditor on August 24, 2026, and rests on the company's own assumption that receivable days will lengthen (DRHP p.87, DRHP p.88). None of the objects has been appraised by any bank, financial institution or independent agency (DRHP p.90). A monitoring agency is to be appointed (DRHP p.66).

Into the business the whole issue: up to 64,48,800 new shares, not priced at draft stage (DRHP p.52). To selling shareholders nothing: there is no offer for sale (AP p.1).

The company may place up to 6,00,000 shares before filing the red herring prospectus, and any shares so placed would come off the issue (DRHP p.73).

09Who is selling

No one. The entire issue is a fresh issue of up to 64,48,800 equity shares by the company, and the offer for sale is nil (AP p.1). The issue is made under Regulation 229(2) and 253(1) of Chapter IX of the SEBI regulations (AP p.1). The promoters and promoter group will not take part in the issue (DRHP p.84).

10Promoters

The promoters are Subhash Ramnarayan Sarda, Sunil Bhimrao Gadekar, Ravi Virendrapratap Singh and Saroj Virendrapratap Sing (DRHP p.172). Subhash Ramnarayan Sarda, aged 57, is Chairman and Chief Executive Officer, a mechanical engineering graduate with 19 years in electrical EPC. Sunil Bhimrao Gadekar, aged 53, is Managing Director, an electrical engineering diploma holder with 32 years in the industry. Ravi Virendrapratap Singh, aged 32, is Whole Time Director with 10 years' experience, a director since July 2025 (DRHP p.156). Saroj Virendrapratap Sing, aged 59, is a Non-Executive Director with 4 years in the industry (DRHP p.157, DRHP p.175).

The document states that Ravi Virendrapratap Singh is the son of Saroj Virendrapratap Sing (DRHP p.159). The firm was founded by Subhash Ramnarayan Sarda, Sunil Bhimrao Gadekar and the late Virendrapratap Rajaram Singh, whose 42,02,540 shares passed to Saroj Virendrapratap Sing by transmission on February 9, 2021 (DRHP p.118, DRHP p.80). The promoter group table lists the late Virendrapratap Rajaram Singh as the spouse of Saroj Virendrapratap Sing (DRHP p.175). The document records that Saroj Virendrapratap Sing cannot trace the educational qualification records (DRHP p.158).

What the company pays them: remuneration and salary to the four promoters was ₹181.37 lakh in FY24 and ₹195.12 lakh in FY26 (our arithmetic, DRHP p.60, DRHP p.61). The approved terms allow up to ₹15,00,000 a month plus commission for each of the Chairman and the Managing Director, and up to ₹2,00,000 a month plus commission for the Whole Time Director (DRHP p.160).

Related-party transactions of all kinds came to ₹1,330.56 lakh in FY26, of which ₹1,010.97 lakh was contract work by G M Engineering and Contractors (our arithmetic, DRHP p.60, DRHP p.61, DRHP p.62). The promoters also lend the company money and guarantee its bank lines (DRHP p.233, DRHP p.41).

Other ventures: the promoter group includes nine firms and five proprietorships, among them Ideas Developers, Ideas Engineering and Construction and GM Engineers & Contractors, and a company, Ideas Engineers Rwanda Limited (DRHP p.176). The group company is SAAA Consultants Private Limited, a software and consultancy company (DRHP p.266). None of the directors has held a directorship in a listed company (DRHP p.44).

Cases: one criminal complaint is pending against Subhash Ramnarayan Sarda, a Minimum Wages Act application by a Labour Enforcement Officer over a December 2023 site inspection, with the amount not quantified; the Act provides a fine of up to ₹500 for each contravention (DRHP p.249, DRHP p.250). No tax proceedings are recorded against promoters or directors (DRHP p.250).

Promoter economics: the three founders received 1,26,10,000 shares at ₹10 on conversion of the partnership in December 2018, for consideration other than cash (DRHP p.74). A handful of 100-share lots changed hands among individuals at ₹10 in 2019 and 2021 and at ₹35 in February 2024 (DRHP p.78, DRHP p.98). A bonus of one share for every four held was allotted on January 19, 2026 (DRHP p.74). The stated average cost of acquisition is ₹8.00 a share for three promoters and ₹0.00 for Saroj Virendrapratap Sing, whose shares came by transmission (DRHP p.80). None of the promoters' shares is pledged (DRHP p.78).

11Who already owns it

Source: DRHP p.80, DRHP p.81, DRHP p.76. The company has 11 shareholders (DRHP p.83). There is no private equity, no venture capital, no institution, no employee stock option scheme and no convertible instrument (DRHP p.73, DRHP p.83).

The fresh issue is up to 64,48,800 shares (DRHP p.52). On full allotment the count rises from 1,57,62,500 to 2,22,11,300 and the promoters' holding falls from 99.99% to about 71.0% (our arithmetic, DRHP p.80). The promoters have agreed to lock in 45,73,000 shares, 20.59% of the post-issue capital, for three years (DRHP p.81).

12What changed just before the IPO

• Revenue jumped in the last year. Revenue went from ₹17,001.07 lakh in FY24 to ₹25,780.26 lakh in FY26 and profit after tax from ₹1,325.54 lakh to ₹2,317.92 lakh, most of it in FY26 (DRHP p.56).
• Receivables lengthened, from 38 days in FY24 to 71 days in FY26, after 91 in FY25 (DRHP p.27).
• Customer mix moved to the public sector. Top five customers went from 67.08% of revenue in FY24 to 74.86% in FY26, and top ten from 87.50% to 89.69% (DRHP p.25). Public sector undertakings went from 34.15% to 54.54% (DRHP p.119).
• Borrowings doubled, from ₹1,478.26 lakh at March 2025 to ₹3,104.30 lakh at March 2026, and finance costs rose from ₹179.31 lakh to ₹420.46 lakh (DRHP p.242, DRHP p.56).
• Promoter remuneration rose slightly, from ₹181.37 lakh in FY24 to ₹195.12 lakh in FY26 (our arithmetic, DRHP p.60, DRHP p.61).
• A bonus issue of one share for every four held, 31,52,500 shares, was allotted on January 19, 2026 out of reserves (DRHP p.74). It is the only allotment since the December 2018 conversion, when shares were issued at ₹10 for consideration other than cash (DRHP p.74).
• No pre-IPO placement has been made; the company may place up to 6,00,000 shares before the red herring prospectus (DRHP p.73).
• The statutory auditor changed. Sandeep Devidan & Associates resigned on November 21, 2025 for want of a valid peer review certificate, and R K Jagetiya & Co was appointed on November 22, 2025 (DRHP p.67).
• The company became a public company, with a fresh certificate dated April 13, 2026 (DRHP p.63).
• The board was rebuilt for listing: three independent directors, a non-executive director and a CFO joined in June 2026, and the company secretary became compliance officer, and the Chairman, Managing Director and Whole Time Director took those titles from July 1, 2026 (DRHP p.60).
• The accounts were restated, cutting FY26 profit by ₹130.53 lakh (DRHP p.194).
• The order book stood at ₹51,430.11 lakh across 62 projects at June 30, 2026, with a further ₹14,498.43 lakh where the company is lowest bidder and awaits the order (DRHP p.125).
• A subsidiary, Ideas Solar Park Private Limited, was incorporated on February 16, 2026 and an application to strike it off was filed on June 24, 2026 (DRHP p.152).
• Related-party purchases shifted: purchases from Ideas Engineering and Construction fell from ₹795.48 lakh in FY25 to ₹18.12 lakh in FY26, while contract work from G M Engineering and Contractors rose from ₹449.15 lakh in FY24 to ₹1,010.97 lakh (DRHP p.61).

13Capacity and expansion

The company does not manufacture, so there is no installed capacity or utilisation to report. Its capacity is its ability to bid for and execute contracts, which depends on its net worth, working capital, bank guarantee limits, licences and people (DRHP p.131). It owns its registered office building in Aurangabad and two plots at MIDC Waluj used as a store, and rents site offices in Pune and in eleven other states, most of them a single table space (DRHP p.133, DRHP p.134, DRHP p.135, DRHP p.136, DRHP p.36).

The issue funds no fixed assets. What it adds is working capital, including margin money for bank guarantees, which the company says will let it take larger projects and raise its prequalification (DRHP p.87). The order book of ₹51,430.11 lakh at June 30, 2026 was about 2.0 times FY26 revenue (our arithmetic, DRHP p.125). The document gives no schedule for executing it, and says the order book may not translate into revenue in the expected time or at the expected margin (DRHP p.31).

14Market size and industry structure

As claimed: the industry chapter draws on public sources, not a report commissioned by the company: the IBEF power sector report of November 2025 and the Ministry of Power's National Electricity Plan (DRHP p.113, DRHP p.116). It cites a planned ₹9,15,920 crore investment in transmission by 2032 (DRHP p.113) and an estimated ₹4,25,222 crore needed for additional transmission over 2022 to 2027 (DRHP p.116), and states that 76,787 circuit kilometres of transmission lines and 4,97,855 MVA of substation capacity at 220 kV and above are planned for 2027 to 2032 (DRHP p.125).

The part that is addressable: substations up to 400 kV, transmission lines up to 220 kV and electrical packages for industrial plants, mainly in Maharashtra and neighbouring states. The document does not size that part.

What the company is today: ₹25,780.26 lakh of FY26 revenue and an order book of ₹51,430.11 lakh (DRHP p.56, DRHP p.125).

On structure, the document describes the power EPC segment as highly competitive, with national EPC companies, regional contractors and specialised players bidding for utility tenders, and says tender qualification rules on net worth, experience and equipment often push larger projects into consortiums (DRHP p.131). Work from utilities is won by competitive bidding, which the company says creates pricing pressure (DRHP p.131).

15Competitive position

Source: DRHP p.96, revenue converted from ₹ lakh. The document gives no borrowing figure for the peers, only the debt to equity ratio.

Why customers pick this company, as the document puts it: experience across substations, lines and industrial electrical work since 2008, a Class A contractor licence in four states, and a record with Maharashtra utilities (DRHP p.121, DRHP p.124). The evidence behind that is the 48.00% bid to win ratio in FY26 and repeat work in its home state, which gave 55.29% of FY26 revenue (DRHP p.27, DRHP p.126). Against that, the company says utility work goes to competitive bids, which it says creates pricing pressure, and its registered trademarks cover its name and logo (DRHP p.131, DRHP p.132).

16Peers the company named

Peers named in the offer document: Rajesh Power Services Ltd, Viviana Power Tech Limited, Om Power Transmission Limited and Advait Energy Transitions Limited (DRHP p.93).

The document itself cautions that these companies are in the same sector but may not be exactly comparable in size or business portfolio (DRHP p.93). On size, Rajesh Power Services had FY26 revenue of ₹1,62,794.27 lakh, about 6.3 times this company's; Advait Energy Transitions about 2.8 times, Viviana Power Tech about 2.1 times and Om Power Transmission about 1.7 times (our arithmetic, DRHP p.96).

Margins are close: the peers' FY26 PAT margins ran from 7.71% to 9.93% against this company's 8.99% (DRHP p.96). All four are listed and larger; none is shown to be concentrated in Maharashtra, and the document does not say which segments each shares with the company. There is no price band, so what these peers trade at is not compared here.

17Risks, in plain words

Customers: the top ten customers were 89.69% of FY26 revenue and the top five 74.86% (DRHP p.25) → losing or failing to re-win one large utility would take a large share of revenue with it → public sector and government customers were 65.84% of FY26 revenue and over 80% of the order book (DRHP p.130, DRHP p.30).

One state: Maharashtra was 55.29% of FY26 revenue and 73.94% in FY24 (DRHP p.28) → a slowdown in that state's utility tenders reaches revenue directly → Rajasthan, the next state, was 14.70% (DRHP p.28).

Cash: operating cash flow was negative ₹1,158.16 lakh in FY26 while profit was ₹2,317.92 lakh (DRHP p.57) → larger projects mean more money tied up in receivables and retentions before payment → receivables were ₹5,038.02 lakh and retentions receivable ₹2,690.55 lakh at March 2026 (DRHP p.54, DRHP p.211).

Guarantees: bank guarantees of ₹5,772.23 lakh were outstanding at March 2026, about 64% of net worth (our arithmetic, DRHP p.59, DRHP p.54) → a customer can invoke a guarantee over alleged non-performance → the document names this as a risk to liquidity (DRHP p.33).

Fixed-price contracts: some contracts have no price variation clause, so the company bears material price increases (DRHP p.30) → equipment and materials were 52.1% of FY26 revenue (our arithmetic, DRHP p.56).

Lumpy revenue: the last quarter was 36.74% of FY26 revenue and 43.84% of FY25 (DRHP p.33) → a delayed milestone moves revenue between years.

Related parties: contract work of ₹1,010.97 lakh went to a firm in which a brother of Sunil Gadekar is a partner in FY26 (DRHP p.60, DRHP p.61) → the document says related-party purchases are on arm's length terms (DRHP p.62).

Compliance record: GST annual returns for FY25 were filed up to 167 days late, TDS returns up to 114 days late and PF returns up to 99 days late (DRHP p.36, DRHP p.37); certain ROC filings carried errors (DRHP p.30); and registrations for inter-state migrant workers were not obtained for sites in Maharashtra and Karnataka (DRHP p.29).

Issue-specific: the whole issue funds working capital based on management estimates, not appraised by any agency, and the general corporate purposes amount is left blank (DRHP p.86, DRHP p.90).

18Litigation and regulatory matters

Maha Active Engineers alleges the company broke non-compete terms by bidding alone for an MSETCL substation tender; the company denies this and says the agreement ended when a joint bid failed (DRHP p.249). The Minimum Wages Act matter arises from a December 15, 2023 inspection of a site at Indian Cements Limited, Parli Vaijnath, which found procedural lapses such as late annual returns and missing wage slips (DRHP p.249). No action by SEBI or an exchange is recorded against the company, promoters or group company (DRHP p.249, DRHP p.250). The document separately records late statutory filings and ROC form errors, with no proceedings started on them (DRHP p.30, DRHP p.37).

19Related-party transactions

Source: DRHP p.60, DRHP p.61, DRHP p.62; the rows are our arithmetic on the entries listed. G M Engineering and Contractors is a firm in which a brother of Sunil Gadekar is a partner; Ideas Engineering and Construction is a firm whose partners are the spouses of Sunil Gadekar and Subhash Sarda and Ravi Singh; Ramesh B. Gadekar is listed as a brother of Sunil Gadekar (DRHP p.60).

What appeared in the two years before the filing: salaries to Vidhan Jain, listed as son-in-law of Subhash Sarda and now Chief Operating Officer, from FY25 (₹14.98 lakh in FY26); salaries to Payal Sunil Gadekar from FY25 and Charvee Subhash Sarda in FY26; loans of ₹69.00 lakh each from Bharti Sunil Gadekar and Sunita Subhash Sarda taken in FY25 and repaid in FY26; and a loan from Ravi Virendrapratap Singh of ₹63.00 lakh in FY25 (DRHP p.60, DRHP p.61, DRHP p.62, DRHP p.167). Work contracts from Ramesh B. Gadekar stopped after FY25 and purchases from Ideas Engineering and Construction almost stopped in FY26 (DRHP p.61).

20What the offer document does not say

No customer is named, and the largest customer's share of revenue is not given. Margins by contract, by line or by customer type are not disclosed, so the rise in FY26 margin cannot be traced. The age and expected collection date of the ₹2,690.55 lakh of retention money receivable is not given. The execution schedule of the ₹51,430.11 lakh order book is not given.

What other non-current assets of ₹1,929.83 lakh consist of is not set out on the pages read. How contracts are split between fixed-price and price-variation terms is not quantified. The general corporate purposes amount, the issue expenses and the price band are left blank. The industry chapter sizes the national transmission programme but not the part of it this company can bid for.

One naming inconsistency is a document matter: the related-party contractor appears as G M Engineers and Contractors, G M Engineering and Contractors and GM Engineers & Contractors on different pages (DRHP p.60, DRHP p.61, DRHP p.176).

21Five questions for management

1. Who is the largest customer, and what share of FY26 revenue and of the June 2026 order book does it account for?
2. How much of the ₹2,690.55 lakh of retention money receivable is past its defect liability period, and when is it due?
3. What margin did the company earn on the substation contracts that drove FY26 revenue, against transmission lines and industrial work?
4. What does G M Engineering and Contractors do on the company's sites, and how was the ₹1,010.97 lakh of FY26 contract work priced against outside contractors?
5. What share of the ₹51,430.11 lakh order book is expected to be billed in FY27, and how much of it carries price variation clauses?

2Sources and cited facts

This study was read from 2 documents the company filed. The 130 figures it cites are listed under the document each came from, with the page and the sentence as printed.