A micro-infra stock has emerged as a key contender, supported by a robust order book of over Rs. 330 crore and a compounded net profit growth of 122 percent over the past three years.
The business has steadily expanded across multiple infrastructure verticals, including city gas distribution, water systems, power, and renewable energy, reflecting strong execution capabilities and consistent growth. Investors are likely to be attracted by its significant order inflows and proven profitability trajectory.
About the Company
Desco Infratech Limited, headquartered in Surat, Gujarat, is a certified ISO 9001:2015 company founded in 2011, specializing in City Gas Distribution (CGD) and related infrastructure services. The company has been listed on BSE SME since April 1, 2025, and has rapidly scaled operations across India.Desco’s market capitalization stands at Rs. 187.68 crore, with the current market price at Rs. 244.50.
Over the last three years, the company has delivered a compounded net profit growth of 122 percent, highlighting its strong financial performance and growth potential. The firm offers end-to-end solutions including installation and commissioning of PNG and MDPE pipelines, gas-leak detection and emergency response, LT/HT electrical cable laying, water systems, and renewable energy infrastructure. Desco is a trusted partner to leading energy players such as Adani Total Gas, BPCL, and multiple state utilities.
In FY25, the company achieved an 82 percent increase in pipeline commissioning compared to FY24, marking a significant expansion of its operational capacity. Bid sizes have increased substantially, with Desco now confidently bidding for projects worth over Rs. 50 crore in a single contract, compared to smaller bids previously.
As of July 23, 2025, the company’s order book stands at over Rs. 330 crore, up from Rs. 270 crore earlier, reflecting strong business momentum, continued order inflows, and a growing presence in executing city gas distribution, MDPE pipeline installation, operations and maintenance, and power and transmission projects across India.
City Gas Distribution Segment
City Gas Distribution has been central to Desco’s operations since its inception. The company provides piped natural gas (PNG) connectivity for residential, commercial, and industrial customers, including last-mile connectivity projects.
Its services encompass laying of MDPE and steel pipelines, leak detection, pressure testing, and operations and maintenance (O&M) to ensure network reliability and safety.
Desco maintains long-term partnerships with both public sector and private energy leaders, including Adani Total Gas Limited, Adani Renewables, Torrent Power, Torrent Gas, Gujarat Gas, IRM Energy, Think Gas, Bhagyanagar Gas Limited, IndianOil-Adani Gas Pvt. Ltd., KSPPL (BPCL-IOCL JV), Luthra Group, AMNEX, Haryana City Gas, Aavantika Gas Limited, and Selan Exploration Technology Limited.
Water Infrastructure Segment
Desco has diversified into water infrastructure, contributing to government initiatives such as the Jal Jeevan Mission. Key capabilities include constructing overhead tanks, sump wells, and open wells for long-term reliability, laying HDPE and DI pipelines with precision, and building effluent chambers to support wastewater management. This segment demonstrates the company’s ability to extend its infrastructure expertise beyond gas distribution.
Renewable Energy Segment
In alignment with India’s clean energy transition, Desco has expanded into renewable energy, particularly solar infrastructure. Its expertise covers erection of solar module structures, RCC pile foundations, and the commissioning of solar units for large-scale deployments.
A notable project includes participation in the Gujarat Hybrid Renewable Energy Park with Adani Green Energy Six Limited in 2024, one of the largest renewable energy developments in India. This segment reflects Desco’s strategic focus on sustainability and clean energy solutions.
Power Distribution Segment
To strengthen its presence across the energy value chain, Desco has entered the power distribution sector. The company installs, erects, and commissions HT/LT poles, lays optical fiber and DWC cables, and executes related electrical works with strict adherence to quality and safety standards. This expansion enhances its ability to deliver comprehensive energy infrastructure solutions across India.
Additional Fabrication Services Segment
Desco has also expanded into fabrication services to support utility and industrial clients. Offerings include utility pipeline fabrication using MS, CS, GI, HDPE, and MDPE materials, as well as structural fabrication of plant sheds, parking sheds, and cable trays. This segment complements its core infrastructure services and enables Desco to provide end-to-end project solutions under a single umbrella.
State-wise Revenue Breakup
The company’s revenue is geographically diversified across several states, with Gujarat contributing the largest share at 31.8 percent, followed by Haryana at 20.9 percent and Uttar Pradesh at 18.4 percent.
Maharashtra accounts for 15.7 percent of revenue, while Punjab contributes 7.5 percent. Smaller contributions come from Madhya Pradesh at 3.9 percent and Rajasthan at 1.4 percent, reflecting the company’s widespread presence across India’s key infrastructure markets.
Clients
Desco serves prominent clients including Indian Oil, Bharat Petroleum, Adani Renewables, Adani Gas, Torrent Power, Gujarat Gas, GAIL, IRM Energy, Reliance, and Torrent Gas, reinforcing its credibility in the infrastructure and energy sectors.
Financial Snapshot
September 2024 to March 2025 (H1 FY25): Sales increased from Rs. 22.63 crore to Rs. 36.81 crore, marking a rise of 62.7 percent. Operating profit grew from Rs. 4.85 crore to Rs. 8.48 crore, up 74.8 percent. Profit before tax rose from Rs. 4.41 crore to Rs. 7.69 crore, an increase of 74.4 percent, while net profit jumped from Rs. 3.25 crore to Rs. 5.81 crore, up 78.9 percent.
March 2024 to March 2025 (FY25 YoY): Sales rose from Rs. 21.58 crore to Rs. 36.81 crore, an increase of 70.6 percent. Operating profit improved from Rs. 4.52 crore to Rs. 8.48 crore, up 87.6 percent. PBT grew from Rs. 4.19 crore to Rs. 7.69 crore, up 83.5 percent, and net profit surged from Rs. 3.21 crore to Rs. 5.81 crore, an increase of 81.0 percent.
Written By Manan Gangwar
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