Rs 728 crore order book & Rs 1,200 crore sale potential: Debt-free civil construction company to soon unveil its Uber-Luxurious Vile Parle Project
The company's shares have an ROE of 25 per cent and an ROCE of 30 per cent.
Man Infraconstruction Limited (MICL Group), one of the leaders in the luxury residential real estate sector, announced the successful acquisition of the Commencement Certificate (CC) for its highly anticipated Vile Parle project. This key milestone sets the stage for the formal launch of the project, which is expected to take place shortly after securing the necessary RERA approvals.
Located on Swami Vivekanand (S.V.) road the project offers excellent connectivity to nearby schools, colleges, hospitals, railway station, airport, beach and entertainment hubs. This is the first cluster development of Vile Parle West and yet another successful cluster development by MICL Group.
The Vile Parle project spread over 3 acres comprises 10 residential towers, each 15 storeys high. It offers a total carpet area for sale of approximately 3.5 lakh sq. ft. featuring premium 2 BHK, 3 BHK and 4 BHK residential spaces. The project has a total estimated sale potential of over Rs 1,200 crore. The project is executed through a JV entity of MICL Group under the asset-light Development Management (DM) model.
MICL is poised to achieve an expected Profit Before Tax of Rs 200+ crore from this project. This shall comprise the DM fees, the Project Management Consultancy (PMC) fee on construction and an interest income on the initial investment made by the company in the project.
DSIJ’s 'multibagger Pick’ service recommends well researched multibagger stocks with High Returns potential. If this interests you, do download the service details here.
About the Company
Man Infraconstruction Ltd, a Mumbai-based company listed on both NSE (MANINFRA) and BSE (533169), specializes in EPC (Engineering, Procurement, and Construction) and Real Estate Development. With a 50-year EPC history and strong execution in ports, residential, commercial, industrial, and road sectors across India, ManInfra also excels in Mumbai's real estate market, delivering high-quality residential projects on time. Its construction management expertise and resources make it a capable real estate developer. As of June 2024, the company’s order book stands at Rs 728 crore. The company has a market cap of over Rs 7,100 crore and has delivered good profit growth of 48.3 per cent CAGR over the last 5 years. The company's shares have an ROE of 25 per cent and an ROCE of 30 per cent.
MICL Delivers Strong Q1FY25 Performance
MICL has reported robust performance in the first quarter of the financial year 2025. The company achieved a sales value of Rs 691 crore, surpassing its annual sales of Rs 744 crore in FY24. This impressive feat is coupled with a remarkable increase in consolidated PBT margins from 21.7 per cent in Q1FY24 to 30.7 per cent in Q1FY25.
Financial Performance and Outlook
MICL's financial health is robust, with a total income of Rs 368.4 crore and a PBT of Rs. 113.2 crore in Q1FY25. The company's PAT stands at Rs 77.5 crore and it maintains a net-debt-free position with a cash and bank balance of Rs 487 crore. MICL has invested over Rs 1,000 crore in its real estate projects and generated a cash flow from operations of Rs 321 crores during the quarter.
With a strong project pipeline and a solid financial foundation, MICL is well-positioned for future growth. The company's prestigious projects, such as Aaradhya Avaan in Tardeo and Aaradhya OnePark in Ghatkopar, have significant revenue potential. Upcoming projects in Goregaon, Marine Lines, BKC, Pali Hill, Vile Parle and Dahisar further solidify MICL's position as a leading real estate developer in Mumbai.
Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.