Subscribe for Vikran Engineering Ltd IPO; Ajcon Global

Ajcon Global, has come out with its report on Vikran Engineering Ltd. The research firm has recommended to “ Subscribe” the ipo in its research report as on August 26, 2025.

Broker Research

August 26, 2025 / 11:46 IST

IPO

Ajcon Global, Vikran Engineering Ltd

Vikran Engineering Ltd. (VEL) is a fast-growing Indian Engineering, Procurement, and Construction (EPC) company in terms of revenue growth for FY23-25, when compared to industry growth estimates and the peer set under consideration. While its revenue from operations is smaller than that of its listed industry rivals, it has grown at a CAGR of 32.17%, according to Restated Financial Information. It has a diverse project portfolio, with the majority of revenue coming from energy and water infrastructure verticals. The company offers turnkey services ranging from conceptualization to design, supply, installation, testing, and commissioning, and operates in a variety of industries such as power, water, and railway infrastructure. Within the power industry, VEL operates in both power transmission and power distribution. Its water-related projects include subterranean and surface water delivery, overhead tanks, and distribution networks. The company also has experience with solar EPC for ground-mounted solar systems and smart metering.

Valuation and Outlook

The Indian Infrastructure and Renewable Energy sectors are expanding rapidly, fueled by increased government investments in water supply, energy transition, railways, and urban development projects. Within this space, Vikrant Engineering has a strong execution track record, having completed 45 projects worth Rs. 1,920 crore and an active order book of Rs.2,442 crore across 16 states. At the upper price band of Rs.97, the issue is valued at a P/E multiple of ~32.12x on its FY25 EPS of Rs. 3.02 post IPO. We give a ‘SUBSCRIBE’ rating to the issue for the following reasons.

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