Transrail Lighting IPO: The good and the bad

Published: 18th Dec 2024

By: Value Research

About Transrail Lighting

Transrail Lighting is an Indian EPC company with integrated manufacturing capabilities for lattice structures, conductors and monopoles (used in electricity transmission in the infrastructure and energy sectors). The company also has global operations, spread across 58 countries, including key markets like Bangladesh, Finland, Kenya and Nigeria.

IPO details

Post-IPO

Financial history

EBIT is earnings before interest and taxes PAT is profit after tax

Key ratios

ROE is return on equity ROCE is return on capital employed

The good

Transrail Lighting excels in fostering long-term client relationships, which is evident from its emphasis on repeat business and the successful execution of multi-phase projects like the last mile connectivity initiative in Kenya.

The bad

Heavy dependence on government contracts and high client concentration can pose challenges to Transrail Lighting’s financials.

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