💰 Financial Performance

Revenue Growth by Segment

The Equipment renting services segment, which is the company's primary reportable segment, grew 5.26% YoY, generating INR 49.66 Cr in FY 2024-25 compared to INR 47.18 Cr in FY 2023-24.

Profitability Margins

The Net profit ratio improved by 61.40%, moving from -66.97% in FY 2023-24 to -25.85% in FY 2024-25, primarily due to other income and reduced losses from asset disposals. Return on Equity (ROE) also improved from -5.00% to -2.42%.

EBITDA Margin

While specific EBITDA % is not provided, the segment loss from Equipment renting services narrowed by 63.51%, reducing from a loss of INR 16.47 Cr in FY 2023-24 to INR 6.01 Cr in FY 2024-25.

Credit Rating & Borrowing

Interest expenses decreased by 16.47% YoY to INR 10.55 Cr in FY 2024-25 from INR 12.63 Cr in FY 2023-24. The Debt Service Coverage Ratio improved significantly by 734.10% to 1.17 from -0.19.

⚙️ Operational Drivers

Raw Materials

Not applicable as the company provides equipment renting and maintenance services rather than manufacturing.

Raw Material Costs

Not applicable; however, losses from disposal or write-off of property, plant, and equipment were reduced in FY 2024-25, contributing to improved financial ratios.

Manufacturing Efficiency

Not applicable; however, the company focuses on higher availability and reliability of rental machines to help customers execute projects faster.

Logistics & Distribution

The company leverages its ability to transfer equipment across various regions and sites to satisfy customer needs, though specific distribution costs as a % of revenue are not disclosed.

📈 Strategic Growth

Growth Strategy

Growth is targeted through the expansion of branches in major cities, adopting new technologies for better productivity, and leveraging the government's infrastructure spend and real estate revival. The company is also undergoing a business restructuring via a Scheme of Arrangement with Yaari Digital Integrated Services Limited.

Products & Services

Equipment renting, management, and maintenance services for infrastructure and real estate projects.

Brand Portfolio

Indiabulls Enterprises Limited (IEL).

Market Expansion

The company plans to open branches in major cities across India to enhance its regional presence and service differentiation.

Strategic Alliances

A Scheme of Arrangement has been approved by NCLT involving the issuance of fully paid-up equity shares of Yaari Digital Integrated Services Limited to IEL shareholders (Record Date: October 28, 2025).

🌍 External Factors

Industry Trends

The industry is seeing a shift toward equipment renting as a watershed moment for infrastructure project implementation. The sector is highly fragmented but supported by government capex-led growth aspirations.

Competitive Landscape

The company faces sustained risk from the expanding capacities of existing players and the emergence of new entrants in the fragmented equipment rental industry.

Competitive Moat

The company's moat is built on its large-scale resources, which provide greater purchasing power and the ability to provide a broader range of equipment across diverse regions compared to smaller, fragmented competitors.

Macro Economic Sensitivity

The company is highly sensitive to government infrastructure spending and interest rate cycles. A global economic soft landing and disinflation are noted as positive drivers for business financing.

Consumer Behavior

Consumer confidence is currently described as shaky due to stock market volatility, which could lead to a drop in demand for services.

Geopolitical Risks

The Russia-Ukraine war is identified as a key risk that disrupts global energy and food crises and impacts supply chain dynamics.

⚖️ Regulatory & Governance

Industry Regulations

The company complies with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and has established a whistle-blower mechanism and familiarization programs for Independent Directors.

Legal Contingencies

The company is involved in a Scheme of Arrangement approved by the National Company Law Tribunal (NCLT) with an appointed date of April 1, 2023.

⚠️ Risk Analysis

Key Uncertainties

Market volatility and the inability to predict future demand due to shaky consumer confidence are primary uncertainties that could lead to deviations from projected figures.

Geographic Concentration Risk

Not disclosed in available documents; however, the company maintains a presence in all regions of India.

Technology Obsolescence Risk

The company identifies Cyber Security as a significant risk, where unauthorized access or misuse of sensitive information could inhibit business operations.

Credit & Counterparty Risk

The Net Capital Turnover Ratio increased 247.73% to 1.59, driven by a substantial reduction in working capital due to provisioning against financial assets during the year.