Annu Projects Limited

Sector: EPC / Utilities Infrastructure (Telecom, Sewerage, Gas Pipeline, Railway Signalling)

1. Overview

Annu Projects Limited ("Annu Projects" or the "Company"), established in 2003, is an Engineering, Procurement and Commissioning (EPC) player engaged in the design, development, implementation, operations and maintenance of essential overhead and underground utilities infrastructure. The Company operates across four verticals: telecom infrastructure, sewerage infrastructure, gas pipeline and railway signalling. It is positioned as one of the diversified EPC companies spanning fibre optics to sewerage and gas pipeline works (Source: CARE Report).

The Company has built meaningful operating scale over two decades. It has laid more than 26,200 kms of optical fibre cable (OFC) network and maintained over 62,800 km of OFC networks in the telecom vertical; executed more than 298 kms of sewerage pipes along with sewerage treatment plants and pumping stations; and laid over 537 kms of MDPE pipe (20 mm to 125 mm diameter) with 38,300 galvanized iron (GI) connections for domestic gas supply. Its geographic footprint spans key states including Bihar, Uttar Pradesh, Odisha, Jharkhand, West Bengal, Madhya Pradesh, Goa and the Union Territory of Delhi.

In Fiscal 2026, the Company reported Revenue from Operations of ₹241.25 Cr, EBITDA of ₹50.19 Cr (EBITDA margin 20.81%), and PAT of ₹33.03 Cr (PAT margin 13.69%), delivering a Return on Equity of 21.27% and Return on Capital Employed of 22.66%. As on June 30, 2026, the Company had an outstanding Order Book of ₹1,005.06 Cr (₹10,050.55 million), providing multi-year revenue visibility, with 23 ongoing projects carrying a total contract value of ₹1,959.35 Cr.

Competitively, Annu Projects operates in a fragmented infrastructure EPC market alongside larger listed peers such as Bondada Engineering, EMS Limited, Likhitha Infrastructure and Suyog Telematics. Its differentiation rests on vertical diversification within utilities EPC, a government-anchored customer base, and integrated in-house execution capabilities.

2. Business Model and Revenue Streams

Annu Projects operates a contract-driven EPC model, winning projects predominantly through competitive bidding for government and public-sector clients, and executing utilities infrastructure on a turnkey basis. The Company also undertakes operations and maintenance (O&M) of projects (except gas pipeline) for defined contractual periods, adding a recurring service layer.

Revenue by Business Vertical

The table below sets out revenue by vertical (₹ Crore) and each vertical's share of Revenue from Operations:

The revenue mix reveals a structural shift toward sewerage infrastructure, which overtook telecom as the largest vertical in FY2025 and FY2026. Telecom and sewerage together contributed more than 94% of operations revenue in FY2026, underscoring a high dual-vertical concentration.

Customer Model and Concentration

• Government dependency: Government-sector entities contributed 57.09%, 64.99% and 60.88% of revenue in FY2026, FY2025 and FY2024 respectively. As on June 30, 2026, 20 of 23 contracts (86.96% of total contracts) were with government customers.
• Customer concentration: The top-ten customers accounted for 97.96%, 98.25% and 95.90% of operations revenue across the three fiscals — an elevated dependency profile.
• Supplier concentration: The top-ten suppliers represented 67.92%, 69.23% and 72.48% of total purchases over the same period.
• Marquee clients include Bharat Sanchar Nigam Limited (BSNL), Bharat Broadband Network Limited, GAIL India, Gujarat Gas, Indraprastha Gas, and various state urban infrastructure development corporations.

Key Operating Metrics

3. Products and Service Portfolio

The Company's offerings are organised across four utilities EPC verticals:

Telecom Infrastructure

• Surveying, designing and installing cabling and tower infrastructure for communication, automation and electronic security systems.
• Laying of OFC networks — both overhead and underground — for telecom operators across India, serving PSUs and private parties.
• Historically the largest vertical and a core competency (26,200+ kms OFC laid; 62,800+ km OFC maintained).

Sewerage Infrastructure

• Pipe laying, manhole and sewerage treatment plant construction, pumping stations, structural facilities, stormwater drainage systems and screening chambers.
• Key contractor for state urban infrastructure development corporations (Madhya Pradesh, Bihar, Jharkhand) under Namami Gange and Swachh Bharat Mission, funded by World Bank, Asian Development Bank and central/state governments.
• Now the largest revenue contributor (52.67% in FY2026).

Gas Pipeline

• Laying of MDPE pipe (20 mm–125 mm diameter) and 38,300 GI house connections for domestic and commercial gas supply.
• Completed projects for Indraprastha Gas, Gujarat Gas and GAIL India; as on June 30, 2026, working on 4 projects with GAIL across Bihar, Jharkhand, Odisha and West Bengal.

Railway Signalling (Emerging)

Newly entered vertical aligned to railway modernization and safety; first project won with an approximate Order Book value of ₹11.31 Cr (₹113.13 million).

Contract Value Composition (as on June 30, 2026)

The portfolio is transitioning from a telecom-led model toward a sewerage-and-gas diversified base, with railway signalling positioned as a future growth optionality. Execution is supported by a trenchless-technology, equipment-backed approach for speed and reliability.

4. Key Business Strengths

• Diversified utilities EPC platform — Presence across telecom, sewerage, gas pipeline and railway signalling reduces single-sector dependence and broadens the addressable order pipeline.
• Strong and growing Order Book — ₹1,005.06 Cr outstanding as on June 30, 2026, with a Book-to-Bill ratio of 3.89x underpinning revenue visibility.
• Government-anchored client base — Long-standing relationships with BSNL, GAIL, state urban development corporations and multilateral-funded schemes (Namami Gange, Swachh Bharat Mission).
• Established execution track record — 26,200+ kms of OFC laid, 62,800+ km maintained, 298+ kms of sewerage pipes and 537+ kms of MDPE gas pipe delivered.
• Integrated, technology-driven execution — In-house project management with a trenchless-technology and owned-equipment approach supporting cost control and quality.
• Consistent financial performance — Revenue CAGR-led growth with 21.27% ROE and 22.66% ROCE in FY2026 and improving EBITDA margins.
• Experienced promoter-led leadership — Promoters with 23+ years of sector experience driving strategy and customer relationships.

5. Future Growth Strategy

• Geographic expansion across India — Deepening presence in existing markets and entering new geographies; submitted a consortium bid for 16 projects representing ~81% of a targeted contract value pool.
• Vertical diversification within infrastructure — Leveraging core project-execution competencies to expand gas pipeline and sewerage exposure while continuing telecom focus.
• Entry into railway signalling — Diversifying the project portfolio into railway modernization and safety, having secured a maiden project.
• Disciplined cost management — Tightening budgeting, expenditure monitoring and resource optimization to protect and expand execution margins.
• Talent-pool expansion — Steady scaling of skilled engineering and project-management personnel to strengthen execution capacity.
• Order Book scaling and de-risking — Broadening specialized expertise and diversifying the Order Book to enhance revenue durability and corporate reputation.