# 1. Financial Performance ## A. Key Figures * **Revenue:** **₹31.68 Cr** Q1 FY'26 (+400% YoY) · **₹218 Cr** FY'25 (+234% YoY) * EBITDA: ₹6.46 Cr Q1 FY'26 (+400% YoY) · ₹32.19 Cr FY'25 (+178%) * PAT: **₹3.16 Cr** Q1 FY'26 (+600% YoY) · **₹20.69 Cr** FY'25 (+200%) ## B. Revenue Growth * **Explosive Growth Trajectory:** Revenue and EBITDA surged over 400% YoY in Q1 FY'26, reflecting strong execution and market demand. * **Order Book Momentum:** Secured **INR1,000 crores** in orders to date for FY'25, significantly exceeding prior-year revenue and signaling robust future visibility. ## C. Profit Margins * **Outperformance vs. Peers:** Viviana Power Tech maintains a **20% EBITDA margin**, nearly double that of key competitors, driven by superior pricing and a **35–40% conversion ratio** on bids. * **Margin Resilience:** Despite sharp top-line growth, PAT margin held steady at 3% in Q1 while PAT more than doubled, indicating scalable profitability. ## D. Balance Sheet Strength * **Self-Sustained Funding Model:** No immediate equity or debt dilution planned for capex/WC; operations supported by existing bank facilities and internal accruals. * **Strategic Capital Structure:** Equity dilution from preferential allotment was non-promoter; promoters have added to holdings post-listing with **42,000 shares acquired** and **51,500 warrant shares held**. * **Revenue Capacity:** Firmly positioned to achieve **INR800–900 crores** in revenue with current funding and infrastructure. --- # 2. Order Book & Demand ## A. Key Figures * **Order Book:** **₹1,052 Cr** (total, unexecuted) · **3,200 units** (transformers, utility supply) * **Prior Year Execution:** **₹218 Cr** achieved vs. ₹125 Cr initial target * **Carry Forward:** **₹800–900 Cr** of unexecuted order book to next FY * **Order Split:** **₹120 Cr** transmission EPC · **₹52 Cr** transformers · remainder distribution EPC * **Future Booking Outlook:** **₹1,800–2,000 Cr** targeted next year · **₹500–600 Cr** expected by Jun-26 ## B. Order Book Composition & Visibility * **Utility-Driven Backlog:** Entire transformer order book is direct utility supply from state governments, ensuring high-quality revenue visibility and **zero overlap with EPC operations**. * **Strong Execution Track Record:** Demonstrated ability to exceed order fulfillment targets through efficient execution of carried-forward orders. * **Back-End Loaded Revenue Recognition:** Majority of LOAs received in early H2, supporting **balanced Q3 and Q4 revenue ramp**. ## C. Future Demand & Bidding Pipeline * **Aggressive Booking Target:** Next-year bidding pipeline set at **3x projected current-year revenue**, signaling confidence in market share gains. * **HVDC Projects:** Expected to emerge via Ministry of Power tenders, but **multi-year gestation** implies limited near-term revenue impact. * **Near-Term Momentum:** Company anticipates **at least ₹500 Cr in new orders within months**, reinforcing growth trajectory into FY27. --- # 3. Capacity & Production ## A. Key Figures * Transformer Capacity: 20.5 MVA by FY '27 (up from current) · 20,000 units/year planned (from 7,000) * **Annual Production Target:** **10,000 transformers** · **3,250 units** on firm order (₹52 Cr revenue) * Capex Incurred: **₹9.5 Cr** (incl. working capital) in transformer business * **Single Bid Capacity:** **₹110 Cr** current · **₹260 Cr** post-secured orders · **~₹250 Cr** near-term target * **HVDC Project Scale:** **>₹5,000 Cr** typical size · requires **₹250–300 Cr net worth** ## B. Transformer Manufacturing * **Backward Integration Executed:** Aarsh Transformers unit now operational, marking successful in-house entry into distribution transformer manufacturing. * **Rapid Scaling Underway:** Manufacturing ramp-up complete from scratch; deliveries ongoing with one-year order fulfillment already six months advanced. * **Revenue Visibility:** Firm orders for **3,250 transformers** provide near-term revenue visibility and de-risk capacity expansion. ## C. Plant Expansion Plans * **Path to Ownership:** Current leased transformer plant may transition to a dedicated owned facility within 1–5 years, aligned with scaling needs. ## D. Single Bid Capacity * **Bidding Power Doubled:** Significant uplift in single-tender capacity to ₹110 Cr, with clear line of sight to **₹250–260 Cr** level, enabling larger project participation. * **HVDC Ambition Accelerating:** Technical readiness in place; targeting full technical and financial capability for **>₹5,000 Cr HVDC projects by FY '27**, benchmarking against L&T and Polycab. --- # 4. Product & Segment Mix --- # 5. Geography & Customer Mix ## A. Key Figures * **Order Book:** **>₹1,000 Cr** total · **35%** from RDSS scheme (FY '26) ## B. State Presence * **Geographic Expansion:** Operations span **11 states**, with plans to grow to **13–14 states** to deepen penetration in solar and renewable energy markets. * **Competitive Landscape:** Faces competition from **listed players, private firms, and major cable manufacturers** including Polycab, KEC, and APAR in key markets like Gujarat and Punjab. ## C. Utility Customers * **Utility-Centric Strategy:** Transformer business prioritizes direct engagement with **state and private utilities** to drive volume and revenue growth. * **Direct Sales Model:** All transformers are supplied **directly to utilities**, bypassing EPC contractors, enhancing margin control and customer relationships. ## D. Project Sourcing * **Diversified Order Drivers:** Majority of order book stems from **system improvement projects, Kisan Suryoday Yojana, and internal utility budgets**, reducing reliance on RDSS post-FY26. * **Core Competency Leverage:** Involvement in renewable projects driven by **power evacuation expertise**, integrating T&D strengths into EPC initiatives like those with **Punjab Utility**. * **Real Estate Activity:** Limited to **asset creation and collateral curation** for banks, funded via **bank facilities**. --- # 6. Risks & Execution Challenges ## A. Receivables & Cash Flow Dynamics * **Elevated Receivables:** Trade receivables continue to rise, with some payments delayed **beyond one to two years**, though no liquidation losses or waivers have occurred. * **Structural Collection Delays:** **Retainage of up to 10% per contract** and **March revenue concentration** delay cash inflows, with collections typically realized in April–May, distorting year-end liquidity. * **Improving Trend Expected:** Receivables spike in FY '25 was driven by strong Q4 revenue; H1 FY26 collections are anticipated to show marked improvement. ## B. Margin Pressure * **Solar EPC Margin Challenges:** Margin pressures and operational complexity in solar EPC remain a concern, reinforcing strategic intent to maintain it as a **secondary business focus**. --- # 7. Guidance & Outlook ## A. Key Figures * **Revenue Guidance:** **₹219 Cr** FY25 · **₹550 Cr** FY26 · **₹850 Cr** FY27 * **Q1 FY26 Revenue:** **₹30 Cr** (implying ₹520 Cr to be delivered over next nine months) * **PAT Margin Target:** **~9%** in FY26 and FY27 * **EBITDA Margin Target:** **9%** (stable outlook) ## B. Revenue Forecast * **Ambitious Growth Trajectory:** Revenue guidance reflects strong confidence in execution, with a near 2.5x increase projected from FY25 to FY26 and continued momentum into FY27. * **Confidence in Delivery:** Management describes FY26 guidance as "moderate and comfortably achievable," with expectation of delivering **"550 plus"** despite 10 months remaining in the year. * **Execution Backlog:** Over **95% of FY26 revenue target** must be executed in the remaining nine months, highlighting significant upcoming execution intensity. ## C. Margin Target * **Stable Margin Outlook:** Company reaffirms commitment to **9% PAT margins**, consistent with historical performance and supported by stable EBITDA expectations. * **Margin Resilience:** Despite increasing transparency in order book, management sees no near-term pressure on profitability, signaling pricing discipline and operational control. ## D. Long-Term Vision * **Strategic Expansion:** Growth anchored in India’s power T&D modernization and renewable energy transition, with deliberate expansion into renewable EPC services. * **Milestone-Driven Roadmap:** Plans to migrate to mainboard by **March 31, 2026**, following eligibility on September 16, 2025, in coordination with merchant banker. * **Long-Term Aspiration:** Management articulates a clear ambition to become a **unicorn**, focusing on team strengthening and sustained YoY growth to achieve scale. * **Emerging Segments:** Solar EPC and BESS are under evaluation but not expected to materially contribute within the next **five years**.