# 1. Financial Performance ## A. Key Figures * **Revenue:** **₹17 Cr** H1 FY'26 (+119% YoY) * **EBITDA:** **₹3 Cr** H1 FY'26 (+105% YoY) * PAT: ₹1.93 Cr H1 FY'26 (+82% YoY) ## B. Revenue Growth * **Strong Momentum:** Exceptional top-line growth driven by increased client confidence, enhanced execution, and entry into high-value markets. ## C. Profitability Trends * **Investment-Led Margin Profile:** Modest PAT growth relative to revenue reflects strategic, non-recurring front-loaded investments in manpower, business development, and R&D to scale capacity ahead of demand. * **Margin Outlook:** Margins expected to stabilize in forward periods as one-time H1 FY'26 costs do not recur, with structural advantages from IP-driven efficiency limiting long-term employee cost inflation. * **Efficiency Benchmark:** **Revenue per employee** currently at **₹15 lakh**, with upside potential from integration and acquisitions, though no formal target set. ## D. Cash Flow Position * **IPO Proceeds Timing:** **₹30 Cr** under other current assets represents uncredited IPO proceeds as of 30 September; funds to be reflected upon settlement. --- # 2. Order Book & Demand ## A. Key Figures * **Order Book:** **₹10.4 Cr** confirmed · **₹8–10 Cr** high-probability · **₹15–18 Cr** active RFQs * **H1 FY'26 Clients:** **80** total (up from 53) · **27 new clients added** * **H2 FY'26 Revenue Outlook:** **25–30% higher than H1** · Full-year FY'26 revenue estimated at **₹37–38 Cr** (organic) ## B. Confirmed Orders * **Global Execution Credibility:** Demonstrated through marquee projects including Everton Stadium (UK), healthcare and performing arts facilities in the US, and precast projects across Australia and Europe. * **Stable Project Profile:** Majority of new clients are in the **INR 1 Cr ticket size** range with **5–6 month duration**, supporting predictable revenue and vertical growth. * **Large Project Momentum:** Secured **2–3 high-value projects** (₹60L–₹5 Cr each), with BD focus on replicating such wins in future quarters. * **Order Book Growth Trend:** Pipeline expands monthly with continuous client assignments; formal quarterly disclosure planned to enhance transparency. ## C. Pipeline Visibility * **Strong H2 Revenue Visibility:** Confirmed orders and robust RFQ pipeline support **25–30% sequential revenue growth** in H2 FY'26. * **Margin Confidence:** Operational cost efficiency, particularly **30–35% employee cost** (vs. ~60% at Mold-Tek), underpins margin resilience despite project mix variability. * **Capacity Utilization Target:** Aiming to reach **₹5 Cr/month capacity utilization from January**, backed by growing RFQ inflows and multi-month project duration profile. * **Strategic Client Transition:** Actively shifting focus to **higher-value, niche clients** with complex requirements to drive ticket size and margin expansion. ## D. Client Acquisition * **Accelerated Client Expansion:** Added **27 new high-potential clients** in H1 FY'26, reflecting enhanced market acceptance and capability recognition. * **High Retention & Repeat Business:** **70% of H1 revenue from repeat customers**, underscoring strong client satisfaction and relationship depth. * **BD Infrastructure Scaling:** Strengthened with a **senior BD hire (15+ years’ US experience)** and increased international engagement, though estimation team is currently capacity-constrained due to high RFQ volume. * **Dual Sales Engine:** Growth driven by both **competitive bidding** and **repeat client orders**, balancing new wins with relationship leverage. --- # 3. Capacity & Utilization ## A. Key Figures * **Engineering Team Size:** **200+** employees globally (**180** in operations/backend) * **Execution Capacity:** **₹4.5–5 Cr/month** current and targeted run-rate ## B. Engineering Headcount * **Global Delivery Scalability:** 24x7 operations enabled via delivery centers in **India (Pune, Latur)** and **USA (Texas, Oklahoma, Georgia, Virginia)**, with Pune serving as primary hub for Precast and Steel. * **Strategic Workforce Buildout:** H1 investments focused on scaling execution, BD, and support teams, with ongoing **3–6 month training cycles** to prepare for H2 delivery and FY'27 growth. * **IPO-Funded Talent Expansion:** Funds deployed to strengthen manpower across standalone and acquired entities, emphasizing **international recruitment** of high-caliber personnel. ## C. Execution Capacity * **Capacity Confidence:** Current and targeted monthly execution capacity of ₹5–5 Cr underpins visibility into H2 and FY'27 performance. * **Phased Fund Utilization:** IPO proceeds received in October; partial deployment expected in H2, with full impact anticipated by FY'27. ## D. Training Pipeline * **Investment in Talent Ramp-Up:** New engineers undergo **3–6 month training**, expensed upfront but viewed as strategic capacity building. * **IPO Funds for Empowerment:** ₹9 Cr earmarked for recruitment, training, and stabilization—not routine salaries—supporting long-term scalability. --- # 4. Geography & Market Mix ## A. Key Figures * **Global Operations:** **12+ countries** · **1,700+ international projects** delivered * **Revenue Mix:** Led by **US**, followed by **Australia and Europe**; **no impact from tariffs or H-1B visa concerns** ## B. US Market Dominance * **Core Revenue Driver:** US remains the primary geographic focus with **dominant revenue contribution**, underpinned by strong client billing in USD and resilient post-recovery demand. * **H2 Outlook:** Anticipates a **very strong and busy H2**, supported by established local presence and client confidence from strategic acquisitions. ## C. Global Expansion * **Strategic Growth Trajectory:** Expansion into **Canada, New Zealand, and Southeast Asia** underway, while **Europe** market entry is being de-risked via partnerships with EPC firms rather than direct acquisitions. * **Domestic Footprint Optimization:** Actively expanding in **Nashik** (launch expected by January) and evaluating **Latur** for cost-efficient operations; new office relocation under review for next fiscal. * **Long-Term Vision:** Aims to become a **globally dominant engineering player** through integration of Indian engineering scale with on-the-ground US presence and selective capability-building abroad. --- # 5. Product & Service Expansion ## A. Key Figures * **Average Ticket Size Expansion:** Expected to increase by **8x to 10x** post-service expansion ## B. BIM & Structural Services * **End-to-End Capabilities:** Telge delivers comprehensive structural and BIM engineering solutions with strong quality control, enabling high accuracy and rapid turnaround. * **Service Line Extension:** Expansion into structural design services will enhance project scope and drive **larger contract values**. ## C. One-Stop AEC Strategy * **Inorganic Growth in Motion:** Company is advancing early-stage discussions on two US-based acquisitions—one in architecture (with MEP via partnerships) and another in structural design and stamping—to enable full-service integration. * **Strategic Integration Goals:** Acquisitions target forward and backward integration, aiming to deliver a **complete, one-stop AEC solution** from initial design through engineering and approvals. * **Execution Timeline:** One acquisition expected in current year, while the second is delayed to the next financial year. ## D. R&D and Automation * **Automation as a Margin Engine:** Proprietary R&D in AI-driven BIM dashboards, custom scripts, and multi-software automation (Tekla, SDS2) supports scalable growth without linear headcount increases. * **Controlled Innovation Model:** Internal team of **five R&D specialists** develops exclusive tools for Telge, supplemented by external collaborations under strict confidentiality. --- # 6. Risks & Currency Exposure ## A. Currency Risk & Exposure * **Significant USD Exposure:** The company has substantial revenue exposure to the US dollar, with no current hedging policy in place to mitigate currency risk. * **FOREX Loss Incurred:** Reported a foreign exchange loss on its foreign currency term loan as of **30 September**, recognized under other costs. * **Hedging Under Review:** Management is actively evaluating the implementation of a formal hedging policy for **USD and Euro** exposures. --- # 7. Guidance & Outlook ## A. Key Figures * **FY'26 Revenue Target:** **₹37–38 Cr** (minimum) · **₹40 Cr** (optimistic) * **FY'27 Revenue Projection:** **~₹60 Cr** (+70%–80% YoY) ## B. Growth Trajectory & Visibility * **Strong Forward Momentum:** Company on track for substantial year-on-year revenue expansion, supported by clear visibility in US scaling, Europe EPC partnerships, and AI-driven BIM automation. * **H2 Revenue Acceleration Expected:** Second-half performance anticipated to be **25%–30% stronger than H1**, driven by expanded teams, systems, and global presence. * **Strategic Expansion Plans:** One acquisition targeted in FY'26, though timing remains flexible; long-term growth underpinned by structural R&D and integrated AEC solution development. ## C. Margin Roadmap & Cost Discipline * **Path to 30%+ Margins:** Management confident in achieving full-year FY'26 margin target despite weak H1, citing operating leverage and completion of upfront hiring investments. * **H2 Margin Expansion Expected:** Second-half profitability projected to significantly outperform H1, with **no new hires planned** and **no major costs anticipated**, supporting margin uplift. * **Structural Margin Leverage:** Reduced third-party dependency and internal execution improvements expected to drive **2x–3x margin uplift potential**, with FY'27 EBITDA margin guidance of **30%–35%**. * **Clarity on Guidance:** Management emphasizes that recent small percentage references were related to R&D, not margin targets, and refrains from committing beyond expectation of **improved margins vs. current levels**.