Arisinfra Rockets: Rs 850 Cr Order Boost, Profit Turns Around! See Stock Surge!

Author

Satyam Jha | Whalesbook News Team

Detailed Coverage:

Arisinfra Solutions Ltd has significantly bolstered its order book, now standing at nearly Rs 850 crore, following the acquisition of new integrated supply and services orders totaling Rs 140 crore. These include a Rs 100 crore mandate in North Bangalore and a Rs 40 crore contract from AVS Housing. The company's development management arm is also performing well, managing Rs 1,800 crore in Gross Development Value (GDV) and generating fee yields of 9-11%, ensuring revenue visibility for the next 24-30 months.

Financially, Arisinfra delivered robust Q2 FY26 results, with revenue from operations soaring 38% year-on-year to Rs 241 crore. Crucially, the company achieved a Profit After Tax (PAT) of Rs 15 crore, a significant turnaround from a loss of Rs 2 crore in the same period last year, attributed to strong operating leverage. For the first half of FY26, revenue grew 24% to Rs 453 crore, and the EBITDA margin expanded to over 9.25%.

The company has dramatically improved its balance sheet by reducing consolidated borrowings from Rs 336 crore to just Rs 52 crore, while its cash reserves now stand at approximately Rs 200 crore. Operational efficiency saw improvements, notably in the working capital cycle, which shortened to 84 days from 114 days, aided by disciplined collections and credit control. This enhanced liquidity supports sustained growth without reliance on short-term debt. Daily dispatches grew 30% year-on-year to 792, and the customer and vendor base expanded. Arisinfra plans to focus on deepening technology integration, strengthening capital efficiency, and disciplined scaling to capitalize on India's organized infrastructure sector.

Impact This news is highly positive for Arisinfra Solutions Ltd and its investors, signaling strong operational execution, financial recovery, and growth potential. It demonstrates the company's ability to secure significant contracts and manage its finances effectively, which can lead to increased investor confidence and potentially higher stock valuation. Rating: 8/10

Difficult Terms: * Order Book: The total value of contracts that a company has secured but not yet fulfilled. * Gross Development Value (GDV): The total projected sales revenue from a real estate development project upon completion and sale of all units. * Profit After Tax (PAT): The net profit of a company after all expenses, interest, and taxes have been accounted for. * EBITDA Margin: A profitability ratio that shows how much profit a company makes from its core operations before accounting for interest, taxes, depreciation, and amortization, as a percentage of revenue. * Working Capital Cycle: The time it takes for a company to convert its inventory and accounts receivable into cash, minus the time it takes to pay its accounts payable. * Full-stack execution model: A business approach where a company manages all stages of a particular service or process from beginning to end. * Contract manufacturing: The practice of a company outsourcing the production of its goods to another manufacturer. * Development management/execution services: Services involved in overseeing and managing the planning, construction, and completion of development projects. * Fee yields: The rate of return generated from fees charged for services, expressed as a percentage of the value of the service. * Operating leverage: The extent to which a company's fixed operating costs affect its profitability. A high operating leverage means small changes in sales volume can lead to large changes in operating income. * Consolidated borrowings: The total amount of debt owed by a company and all of its subsidiaries combined.