Tirupati Sarjan Limited is an **ISO 9001:2008** certified real estate and infrastructure development firm headquartered in Ahmedabad, Gujarat. Established in **1995**, the company has evolved from a regional residential developer into a multi-state infrastructure player. It specializes in providing affordable housing for middle-class families while simultaneously executing complex government contracts for civic and institutional infrastructure. --- ### **Core Business Verticals and Service Portfolio** While the company reports under a single primary segment (**Construction/Project activities**) as per **IND AS-108**, it maintains two distinct operational pillars: * **Real Estate Development:** Focuses on the end-to-end development of residential bungalows, apartments, and commercial complexes. To date, the company has successfully executed **100+ projects**, primarily in **North Gujarat**. * **Infrastructure Division:** Established in **2008-09**, this division leverages government tenders to construct: * **Educational & Medical Campuses:** Hospitals, colleges, and institutional townships. * **Civic Infrastructure:** Roads, canals, bridges, drains, and culverts. * **Institutional Buildings:** Guest houses, circuit houses, and specialized government facilities. --- ### **Geographic Footprint and Market Reach** The company maintains a dominant regional presence in **North Gujarat** (including Ahmedabad) but has strategically expanded its infrastructure operations across India and previously into East Africa: * **Domestic Presence:** Gujarat, Rajasthan, Goa, Maharashtra, Diu, and Tamil Nadu. * **International Footprint:** Operates through its subsidiary, **Tirupati Development (U) Ltd**, in **Uganda**. (Note: This asset is currently slated for divestment). --- ### **Strategic Realignment and Growth Catalysts** Tirupati Sarjan is currently undergoing a strategic pivot to streamline its portfolio and enhance domestic profitability: * **Divestment of International Assets:** The Board has approved the sale of the company's **entire stake** in **M/s. Tirupati Uganda Development Limited**. This marks a definitive exit from the **Uganda market** to consolidate resources and management focus on Indian operations. * **Government Tender Prioritization:** A primary growth pillar is the aggressive pursuit of **government infrastructure projects**, capitalizing on the Indian government's increased capital expenditure in the construction sector. * **Operational Excellence:** The strategy emphasizes delivering projects within **allocated budgets** and **stipulated timelines** to ensure **sustainable profitability** over aggressive, volume-based expansion. * **Governance Renewal:** The company is actively strengthening its board with **Independent Directors** (e.g., Ms. Ishali Desai) to improve regulatory oversight and strategic guidance. --- ### **Financial Performance and Capital Management** The company has demonstrated significant top-line growth, though it maintains a conservative dividend policy to fund future projects through internal accruals. **Standalone Financial Highlights (₹ Lacs):** | Particulars | FY 2023-24 | FY 2022-23 | FY 2021-22* | | :--- | :--- | :--- | :--- | | **Net Sales** | **19,375.43** | **15,706.46** | ~9,350.00 | | **Total Income** | **19,525.86** | **15,842.40** | **9,592.00** | | **PBDIT** | **1,416.52** | **1,295.60** | - | | **PAT (Net Profit)** | **394.85** | **302.23** | **168.80** | *\*FY22 figures derived from reported growth percentages of 65% in income and 79% in PAT for FY23.* **Debt and Interest Risk Profile (₹ Lacs):** | Instrument Type | As at March 31, 2025 | As at March 31, 2024 | | :--- | :--- | :--- | | **Fixed-rate Financial Assets** | **10,510.99** | **12,404.64** | | **Fixed-rate Financial Liabilities** | **4,340.54** | **5,014.07** | | **Variable-rate Financial Liabilities** | **4,731.31** | **5,994.78** | * **Credit Exposure:** Maximum credit risk exposure stood at **₹102.45 crore** as of March 31, 2025. * **Inventory:** Valued at **₹83.54 crore** (as of March 2023), carried at the lower of cost or Net Realizable Value (NRV). * **Related Party Loans:** Holds a non-current loan of **₹3,161.86 Lacs** to its Uganda subsidiary. Interest (originally **10.5% p.a.**) has been suspended since 2017 due to the subsidiary's losses. --- ### **Operational Risks and Contingent Liabilities** The company faces several legal and financial headwinds that require active management: **Major Legal and Contractual Disputes:** * **IOCL Dispute:** The company is contesting a **₹8.69 crore** provisional claim from **Indian Oil Corporation Ltd (IOCL)** following a contract termination at an LPG Bottling Plant in Andhra Pradesh. At termination, **₹14.64 crore** of the **₹57.70 crore** project remained uncompleted. * **Tax Litigation:** * **GST:** A disputed demand of **₹5.98 crore** is currently under appeal. * **Service Tax:** **₹2.39 crore** remains under litigation. * **Income Tax:** **Section 156** demand notices were received in **March 2026**; appeals are in process. * **Corporate Guarantees:** The company has issued a guarantee of **₹38.03 crore** to secure credit facilities for its Uganda operations. --- ### **Governance and Compliance Track Record** Recent fiscal years have seen challenges regarding regulatory adherence and internal reporting: * **SEBI (LODR) Compliance:** The company has faced **BSE fines** for failing to maintain the required number of **Independent Directors** and for delays in appointing a qualified **Company Secretary** (Regulation 6(1)). * **Disclosure Lapses:** In **April 2026**, the company failed to disclose material **Income Tax** demand notices within the mandated **24-hour** window, citing administrative oversight. * **Reporting Failures:** The company was unable to file **FLA Returns** due to missing data from foreign entities and failed to prepare **Consolidated Financial Statements** for the year ended **March 31, 2023**. * **Internal Controls:** Despite reporting lapses, the company maintains a robust system for physical verification of **Property, Plant, and Equipment** and **Inventory**, with no material fraud reported in recent audit cycles. --- ### **Investment Summary Table** | Feature | Details | | :--- | :--- | | **Listing** | **BSE (Bombay Stock Exchange)** | | **Total Equity Shares** | **32,998,025** (as of March 31, 2024) | | **Dematerialization** | **98.65%** (63.31% NSDL, 35.34% CDSL) | | **Key Luxury Asset** | **Tirupati Akruti Greenz**, Ahmedabad | | **Primary Risk** | High concentration of **contingent liabilities** and **regulatory fines** | | **Primary Opportunity** | Divestment of African assets to focus on high-margin **Indian Govt. Infrastructure** |