Power Mech Projects Limited (POWERMECH.NS) Bundle
Born in Hyderabad in 1999 under founder S. Kishore Babu, Power Mech Projects Limited has grown from a private infrastructure services firm into a publicly listed NSE company (POWERMECH) that by 2024 had completed over 208 projects for more than 80 clients and now deploys a workforce exceeding 40,000 across India and overseas - a reach supported by a fleet of over 300 cranes, regional offices, subsidiaries and JVs such as Power Mech Industri Pvt Ltd and GTA Power Mech Nigeria; the company, guided by Managing Director Sajja Kishore Babu, went public in 2010, raised ₹350 crore via QIP in October 2023, and by December 12, 2025 its stock traded at ₹2,238.25 with a market cap of ~₹7,077 crore, while reporting fiscal 2024 revenue of ₹4,087.54 crore and net profit of ₹1,807.08 crore, a robust order backlog of ₹53,994 crore as of March 31, 2025, diversified revenues from industrial construction to O&M and renewables, targeted R&D and workforce investments (₹50 crore for AI/IoT in 2023; ₹20 crore for training in 2024), and 2025 contract wins including a ₹165 crore order from BHEL for DVC Koderma TPS Phase-II as it eyes securing ₹10,000 crore in new tenders and deploying ₹500 crore capex in FY26 to expand into non-power sectors and capital projects such as its washery initiative
Power Mech Projects Limited (POWERMECH.NS): Intro
Power Mech Projects Limited (POWERMECH.NS) was established in 1999 by S. Kishore Babu in Hyderabad, India as a private entity focused on delivering high-quality, safe and timely infrastructure services. The company converted into a public limited company in 2010 as operations expanded across power and non-power sectors. By 2024 Power Mech had completed over 208 projects for more than 80 clients and employed a workforce exceeding 40,000 professionals. In 2025 the company won notable contracts including a ₹165 crore order from Bharat Heavy Electricals Limited (BHEL) for the DVC Koderma TPS Phase‑II project.- Founded: 1999 (S. Kishore Babu)
- Public listing: 2010 (conversion to public limited)
- Projects completed (by 2024): 208+
- Clients served (by 2024): 80+
- Workforce (by 2024): 40,000+
- Notable 2025 contract: ₹165 crore from BHEL (DVC Koderma TPS Phase‑II)
| Year / Milestone | Event / Data |
|---|---|
| 1999 | Company founded by S. Kishore Babu in Hyderabad |
| 2010 | Transitioned to public limited company |
| By 2024 | 208+ projects completed; 80+ clients; 40,000+ employees |
| 2025 | ₹165 crore order from BHEL for DVC Koderma TPS Phase‑II |
| Global footprint | Projects in Libya, Yemen, Kuwait, Oman, Saudi Arabia, Bangladesh, Nigeria, Dubai |
- Service diversification: EPC (power), industrial construction, civil, electrical, mining
- Geographic expansion: Domestic pan‑India projects plus international contracts in the Middle East and Africa
- Scale: Large workforce and multiple simultaneous large EPC contracts
- Bid/tender: Pursues tenders from power utilities, PSUs and industrial clients (domestic and international)
- Project mobilization: Deploys engineering, procurement and site execution teams drawn from in‑house and contracted workforce
- Execution: Civil, structural, mechanical, electrical, commissioning and O&M phases managed under single‑point responsibility
- Handover & contracts: Completion milestones tied to payments, retention and performance guarantees
- EPC contract revenues: Lump‑sum and unit‑rate contract billing for power plants, industrial facilities and infra projects
- Service & O&M contracts: Recurring revenue from operations, maintenance and aftermarket services
- Subcontract management: Margins on managed subcontractor work and equipment supply coordination
- Turnkey solutions: Higher margin on integrated turnkey projects where Power Mech assumes end‑to‑end delivery risk
- Order inflow and order book size drive near‑term revenue visibility; notable 2025 order: ₹165 crore from BHEL
- Project margin variability depends on contract type (lump‑sum vs cost‑plus), subcontracting mix, commodity and input cost movements
- Working capital intensity is high in EPC - advances, mobilization, and retention affect cash conversion cycles
- Geographic diversification reduces client concentration risk but introduces execution and counterparty risks in overseas markets
Power Mech Projects Limited (POWERMECH.NS): History
Power Mech Projects Limited (POWERMECH.NS) began as an engineering, procurement and construction (EPC) contractor focused on power and infrastructure projects across India and select international markets. Over three decades it expanded from civil and mechanical works into turnkey power plants, hydro-mechanical works, transmission & distribution, and water infrastructure, building a reputation for complex project execution in remote and challenging environments.- Public listing: Listed on the National Stock Exchange (NSE) under the ticker POWERMECH.
- Strategic growth: Diversified from civil contracting to full-scope EPC and O&M services for power, water, and industrial infrastructure.
- Capital strengthening: Raised ₹350 crore via QIP in October 2023 to fund execution and working capital.
| Key Metric | Value |
|---|---|
| Stock ticker | POWERMECH (NSE) |
| Stock price (12 Dec 2025) | ₹2,238.25 |
| Market capitalization (12 Dec 2025) | ≈ ₹7,077 crore |
| Authorized capital | ₹35.00 crore |
| Paid-up capital | ₹31.62 crore |
| QIP | ₹350 crore (Oct 2023) |
| Managing Director | Sajja Kishore Babu |
- Shareholder base: Mix of institutional investors (mutual funds, FII/FPIs), retail investors and company insiders-diverse ownership supports liquidity and governance.
- Board & governance: Board comprises experienced professionals providing strategic oversight; the leadership team focuses on execution discipline and balance-sheet health.
- Revenue model: Earns revenue primarily from EPC contracts (fixed-price and reimbursable), operation & maintenance (O&M) contracts, and specialized services (hydro-mechanical equipment, testing & commissioning).
- Contract lifecycle: Bid → win EPC contract → mobilize resources & subcontractors → milestone-based invoicing → final commissioning → long-term O&M (where applicable).
- Profit drivers: Scale of project portfolio, project mix (higher margins in specialized hydro/mechanical works and O&M), timely execution to avoid cost overruns, and effective working-capital management.
- Financial flexibility: QIP proceeds and prudent capital structure (authorized ₹35 crore; paid-up ₹31.62 crore) support bidding capacity and liquidity for large-ticket projects.
Power Mech Projects Limited (POWERMECH.NS): Ownership Structure
Power Mech Projects Limited (POWERMECH.NS) positions itself as a full-service industrial and infrastructure engineering, procurement, construction and services company focused on power and related sectors. Its stated mission and values guide operational priorities, investment choices and client relations.- Mission: Provide services with the highest levels of workmanship and exemplary speed, continuously enhancing organizational skills through innovation and teamwork.
- Vision: To be the best and most competitive industrial and infrastructure engineering, construction and services company.
- Core values: Professionalism, integrity, honesty, fairness, passion, diligence, excellence, safety, continuous learning and quality.
- R&D: Allocated ₹50 crore in 2023 to integrate AI, IoT and advanced project-execution technologies into engineering, monitoring and predictive-maintenance workflows.
- Workforce development: Plans to invest ₹20 crore in employee training and development programs in 2024 to boost multi-skilled execution teams and safety competencies.
- Customer centricity: In a 2023 client survey, 80% of clients rated their overall experience positively-driving repeat business and reference wins.
- EPC contracts: Turnkey engineering, procurement and construction projects for power transmission, distribution, substations and balance-of-plant work-revenues recognized on milestone or percentage-of-completion basis.
- O&M and services: Long-term operation & maintenance contracts, AMC and retrofitting services that provide annuity-like revenue streams.
- Specialized services: Civil works, testing & commissioning, asset rehabilitation and retrofit projects commanding premium margins.
- Equipment supply and sub-contracting: Procurement margin and sub-contractor management for specialized packages.
| Shareholder Category | Approx. Holding (%) | Notes |
|---|---|---|
| Promoters & promoter group | 54.12 | Founder/ promoter stake providing strategic control |
| Domestic institutional investors | 18.45 | Mutual funds, insurance and pension funds |
| Foreign institutional investors (FIIs/FPIs) | 9.30 | Portfolio investors and funds |
| Public & retail shareholders | 15.13 | Individual investors and retail participation |
| Total | 100.00 | Fully diluted share capital basis |
- Order book health: Size and tenure of awarded EPC and O&M contracts determine revenue visibility and utilization.
- Gross margin on EPC vs. services: Services and O&M typically deliver steadier margins than one-off EPC bids.
- Working capital & receivables: Timely collections from utilities and industrial clients affect cash flow and funding costs.
- Capex & technology spend: The ₹50 crore R&D allocation and digitalization drive lower lifecycle costs, higher bid competitiveness and potential margin expansion.
Power Mech Projects Limited (POWERMECH.NS): Mission and Values
Power Mech Projects Limited (POWERMECH.NS) delivers end-to-end engineering, procurement, construction (EPC), and operations & maintenance (O&M) services primarily to the power, oil & gas, infrastructure and industrial sectors. The company emphasizes safe, timely execution and life‑cycle support of power plants and heavy industrial projects through a decentralized delivery model and vertically integrated capabilities. How it works Power Mech operates through a decentralized structure with regional offices and project sites across India and internationally, enabling local decision‑making and efficient project execution. Key operational elements include:- Decentralized project management: regional offices coordinate site execution, procurement, logistics and HSE compliance.
- Large multidisciplinary workforce: over 40,000 professionals including engineers, technicians and support staff across disciplines.
- Heavy equipment fleet: a fleet of over 300 cranes and construction equipments for lifting, erection and heavy transport tasks.
- Fabrication & manufacturing: in‑house fabrication capabilities via subsidiary Power Mech Industri Private Limited (Noida) for BTG (boiler‑turbine‑generator) parts and assemblies.
- International presence: joint ventures and subsidiaries such as GTA Power Mech Nigeria Limited for African operations and project execution partners in GCC and Bangladesh.
- O&M focus: dedicated O&M teams providing long‑term plant support, spares and performance optimization in Nigeria, GCC countries, Bangladesh and select other markets.
- EPC contracting - turnkey project execution on power and industrial projects (engineering, civil, erection, commissioning).
- Fabrication & supply - manufactured BTG components and assemblies via Power Mech Industri Private Limited.
- O&M services - long‑term operation, maintenance, spare supplies and performance contracts across international markets.
- Equipment mobilization - rental and deployment of heavy lifting and erection equipment from its owned fleet.
- International project execution - through JVs (e.g., GTA Power Mech Nigeria Limited) and local partnerships to win and service overseas contracts.
| Metric | Value / Note |
|---|---|
| Workforce | Over 40,000 professionals (engineers, technicians, support staff) |
| Heavy equipment fleet | Over 300 cranes and construction equipment |
| Key subsidiary | Power Mech Industri Private Limited, Noida (fabrication/manufacturing of BTG parts) |
| Key JV | GTA Power Mech Nigeria Limited (African operations) |
| Primary O&M markets | Nigeria, GCC region, Bangladesh (growing presence) |
- Vertical integration via fabrication subsidiary for better control over critical supply items.
- Joint ventures and local entities (e.g., GTA Power Mech Nigeria Limited) for market access and regulatory compliance.
- Large mobilizable workforce and owned equipment fleet to bid for and execute large, simultaneous projects.
Power Mech Projects Limited (POWERMECH.NS): How It Works
History and Ownership- Founded in the 1990s as an engineering, procurement and construction (EPC) contractor, Power Mech scaled from regional power-sector EPC to a diversified infrastructure conglomerate.
- Listed on the Indian stock exchanges as POWERMECH.NS, the company is owned by a mix of promoters, institutional investors and retail shareholders and operates through subsidiaries and joint ventures for specialized geographies and services.
- Mission: deliver large-scale infrastructure projects safely, on time and profitably, while expanding into O&M and clean energy to ensure recurring revenues and sustainability. See the company's articulated goals here: Mission Statement, Vision, & Core Values (2026) of Power Mech Projects Limited.
- Project Origination: competitive bidding, negotiated EPC, PPP and client referrals across power, hydro, rail, roads, irrigation, nuclear, refinery, petrochemical, oil & gas, and steel sectors.
- Execution: integrated EPC delivery - engineering, procurement, construction and commissioning - using in-house project management, specialized construction fleets and subcontractor networks.
- Operations & Maintenance (O&M): long-term O&M contracts domestically and internationally (Nigeria, GCC, Bangladesh) providing recurring contribution to revenue and margins.
- Mining Development & Civil Works: turnkey mine development, civil infra and rail connectivity packages supporting captive fuel and third‑party clients.
- Renewables & Storage: development and construction of solar parks, onshore wind and battery energy storage systems (BESS) to diversify revenue and capture emerging capacity-add opportunities.
- Capital Allocation: mix of balance-sheet financing, project-specific debt and mobilization advances; selective equity investment via SPVs for long‑tenor renewable assets and concessions.
- EPC Contracts: single‑project large-ticket revenue when construction milestones are achieved (majority of topline historically).
- O&M Contracts: recurring service revenue from operating assets under long-term agreements (domestic and overseas), improving cash flow stability.
- Mining & Civil: one-time and phased receipts for mine development, infrastructure and civil packages.
- Renewable Asset Sales & PPA Revenue: project development fees, construction margins and long-term PPAs or merchant/BESS services for steady post‑commission cash generation.
- Value‑added Services: electrical, instrumentation, testing & commissioning and specialized maintenance contracts augment margins.
| Metric | Value | Period/As of |
|---|---|---|
| Revenue | ₹4,087.54 crore | FY 2024 |
| Net Profit | ₹1,807.08 crore | FY 2024 |
| Order Book (Backlog) | ₹53,994 crore | As of March 31, 2025 |
- High order-book visibility: large backlog (₹53,994 crore) underpins medium-term revenue visibility and contract pipeline conversion.
- Margin mix: EPC yields project-specific margins; O&M and renewables provide steadier, often higher-margin recurring income.
- Geographic diversification: Indian core market supplemented by international O&M and project works in Africa, GCC and South Asia.
- Capital intensity: heavy upfront working-capital and equipment deployment during execution; structured financing and advances mitigate liquidity stress.
Power Mech Projects Limited (POWERMECH.NS): How It Makes Money
Power Mech generates revenue by executing EPC (engineering, procurement and construction) and O&M contracts across power and non-power infrastructure verticals, supplemented by project development (e.g., washery) and allied services. The company monetizes through contract-based billing milestones, long-term O&M fees, and project asset sales/operations where it retains stake.- Diversified contract execution: thermal & hydro power, railways, civil works, roads, water projects, mining development operations.
- Project development & asset monetization: washery project and other brownfield/greenfield assets.
- After-sales and O&M contracts providing recurring cash flows and higher-margin services.
| Metric | Value / Target |
|---|---|
| Market capitalization (as of 12-Dec-2025) | ₹7,077 crore |
| Notable 2025 contract | ₹165 crore order from BHEL for DVC Koderma TPS Phase-II |
| FY26 new tender target | ₹10,000 crore |
| FY26 planned capital expenditure | ₹500 crore (primarily for washery project & routine needs) |
| Strategic sector focus | Industrial plants, railways, roads, water projects, mining development operations (shift from pure power) |
- Market positioning: strong infrastructure contractor with a diversified order book spanning power and non-power sectors, leveraging national programs like the National Infrastructure Pipeline (NIP).
- Growth levers: large tender pipeline target (₹10,000 crore), focused capex (₹500 crore) to build asset-income streams, and pivot to higher-volume non-power segments.
Power Mech Projects Limited (POWERMECH.NS) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Disclaimer
All information, articles, and product details provided on this website are for general informational and educational purposes only. We do not claim any ownership over, nor do we intend to infringe upon, any trademarks, copyrights, logos, brand names, or other intellectual property mentioned or depicted on this site. Such intellectual property remains the property of its respective owners, and any references here are made solely for identification or informational purposes, without implying any affiliation, endorsement, or partnership.
We make no representations or warranties, express or implied, regarding the accuracy, completeness, or suitability of any content or products presented. Nothing on this website should be construed as legal, tax, investment, financial, medical, or other professional advice. In addition, no part of this site—including articles or product references—constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any securities, franchises, or other financial instruments, particularly in jurisdictions where such activity would be unlawful.
All content is of a general nature and may not address the specific circumstances of any individual or entity. It is not a substitute for professional advice or services. Any actions you take based on the information provided here are strictly at your own risk. You accept full responsibility for any decisions or outcomes arising from your use of this website and agree to release us from any liability in connection with your use of, or reliance upon, the content or products found herein.