INDUSTRY STRUCTURE & DEVELOPMENTS
The financial year 2024-25 unfolded against a backdrop of global economic uncertainty, characterized by elevated interest rates, persistent geopolitical tensions and growing climate-related disruptions. Although inflationary pressures have started to recede in many advanced economies due to assertive monetary tightening by central banks, global economic growth remains modest. According to the International Monetary Fund (IMF), the global GDP is projected to grow at 3.3% in both 2025 and 2026, underscoring the cautious pace of recovery amid financial market stress, policy constraints, and lingering after effects of the COVID-19 pandemic.
Amid these global headwinds, India stands out as a beacon of resilience and growth. Supported by strong domestic consumption, sustained capital investments and government-led infrastructure spending, India continues to outperform major economies. The National Statistical Office (NSO) estimates Indias real GDP growth at 6.5% for financial year 2025–26, with IMF projections affirming continued momentum at 6.2% in 2025 and 6.3% in 2026. These projections reaffirm Indias position as the fastest- growing large economy, far outpacing the global average.
Infrastructure Sector Overview
Indias infrastructure sector has been a key pillar of its economic strategy, receiving unprecedented policy attention and budgetary support. The Union Budget 2024– 25 allocated a record Rs. 11.11 lakh crore towards capital expenditure, equivalent to 3.4% of GDP. This marks a consistent upward trend from 3.3% in financial year 2024, reflecting a sustained government push to modernize infrastructure and stimulate long-term growth. Strategic initiatives such as the National Infrastructure Pipeline (NIP) and PM Gati Shakti are enhancing project execution efficiency, streamlining logistics and catalyzing investments across transport, urban development and utility sectors.
Key developments in the infrastructure domain include the construction of 74 new airports over the past nine years, expansion of road and rail networks and the integration of digital technologies in planning and monitoring large-scale projects. These initiatives are fostering the emergence of smart, resilient and connected cities and improving regional connectivity, laying the groundwork for a new era of infrastructure led growth.
Power Sector Transformation
Simultaneously, Indias power sector is undergoing a green transformation, driven by ambitious renewable energy goals and supportive policy frameworks. As of December
2024, the countrys renewable energy installed capacity stood at 209.44 GW, registering a remarkable 15.84% year- on-year increase. In 2024 alone, India added 28.64 GW of renewable capacity, more than doubling the 13.05 GW added in 2023. Solar power led the way, contributing 97.86 GW to the total installed capacity.
This growth trajectory aligns with Indias broader commitment to achieving 500 GW of non-fossil fuel capacity by 2030, in line with its Paris Agreement targets. Investment in transmission infrastructure, grid modernization, and energy storage systems continues to gain momentum, ensuring stable integration of intermittent renewable sources and facilitating the electrification of transport and industrial sectors.
Company Strategic Realignment
In response to these transformative shifts in the macroeconomic and sectoral landscape, RDB Infrastructure and Power Limited underwent a significant strategic realignment during financial year 2024-25. The Company completed the demerger of its real estate division into a separate entity, enabling sharper operational focus and optimized capital allocation. Concurrently, we repositioned ourselves through the introduction of a dedicated power vertical and rebranded the Company to reflect our broader ambitions across infrastructure and energy sectors.
This restructuring marks a deliberate pivot towards sectors at the forefront of national development and sustainability imperatives. With this renewed focus, RDB Infrastructure and Power Limited is now strategically placed to capitalize on integrated opportunities spanning energy-efficient infrastructure and urban transformation.
Our forward-looking approach, anchored in execution excellence, sustainable development and value creation, will continue to support Indias growth aspirations while ensuring long-term returns for all our stakeholders.
OPPORTUNITIES AND THREATS
Opportunities
With 58% of National Infrastructure Pipeline (NIP) investments directed toward the transportation sector including roads, railways and urban mobility, the Company sees strong potential to engage in EPC (Engineering, Procurement, and Construction) and allied services, especially in emerging Tier II and III cities where infrastructure expansion is accelerating.
Indias renewable energy sector has grown to 209.44 GW as of December 2024, with robust policy support targeting 500 GW of non-fossil fuel capacity by 2030. RDBs entry into the power sector opens avenues in solar and wind EPC projects, grid integration, and hybrid energy systems. Additionally, the shift toward transport electrification offers synergy between our infrastructure and energy businesses.
With 22% of the NIP investment expected from the private sector, there is a clear push for PPP models. RDB Infrastructure and Power Limited is well-positioned to participate in such ventures by leveraging its project execution capabilities and financial structuring expertise.
Threats
The increasing integration of renewable energy sources and digital technologies in Indias power grid exposes the sector to heightened cybersecurity
SEGMENT–WISE OR PRODUCT-WISE PERFORMANCE
threats. The Union Minister for Power and New & Renewable Energy has emphasized the need for Grid- India to adequately prepare for these challenges to ensure the stability and security of the power infrastructure.
To achieve the target of 500 GW renewable energy capacity by 2030, India needs to invest approximately Rs. 8.2 trillion in expanding its transmission infrastructure. Challenges such as delays in power purchase agreements and lack of evacuation infrastructure could impede the timely deployment of renewable energy projects.
Recent geopolitical tensions between India and Pakistan over the Indus Waters Treaty have raised concerns about the security of water resources. The suspension of the treaty could impact water availability for agriculture and power generation, particularly in regions dependent on river systems shared with neighbouring countries.
During the financial year 2024-25, the Company operated primarily in two segments- Infrastructure and Power, following the demerger of the real estate business in the previous year. The infrastructure segment remained the core revenue driver. Efficient project management and digital monitoring tools enabled timely delivery despite supply chain challenges, contributing to year-on-year growth in both revenue and profitability.
Strengths |
Weakness |
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Opportunities |
Threats |
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The Power segment, introduced this year as part of the Companys strategic expansion, is in its early development phase. Initial efforts were directed toward setting up renewable energy projects, particularly in solar power, with feasibility studies, land acquisition, and regulatory approvals underway. A significant milestone was the Company being awarded a solar power project by Damodar Valley Corporation (DVC), marking its entry into utility-scale renewable energy execution. Additionally, the Company also initiated collaboration with technology partners for hybrid power solutions and transmission infrastructure. While revenue contribution from this segment was limited during the year, it is expected to scale significantly in the coming years, positioning the Company as an integrated player in Indias energy transition.
OUTLOOK
Indias economic trajectory continues to remain robust despite global uncertainties, driven by strong fundamentals, policy continuity, and a sharp focus on infrastructure-led growth. The Governments commitment to high capital expenditure, backed by initiatives such as the National Infrastructure Pipeline, PM Gati Shakti, and increased allocations in the Union Budget 2024–25, provides a strong foundation for sustained demand in the infrastructure sector. Against this backdrop, the Company is well- positioned to leverage its execution capabilities, domain expertise, and strategic partnerships to expand its presence in roads, transport, and urban utilities.
The outlook for the power sector is equally promising, with rising energy demand, ambitious renewable targets, and growing investments in green infrastructure creating long-term growth opportunities. The Companys entry into the power segment—particularly renewable energy and transmission infrastructure—aligns with national priorities such as energy transition, decarbonization, and grid modernization. As our power projects move from planning to execution stages, we anticipate this segment to evolve into a key contributor to our revenue and margins. The Company remains focused on innovation, sustainability, and financial prudence while building a resilient, diversified portfolio that supports Indias growth ambitions and delivers long-term value to all stakeholders.
RISKS AND CONCERNS
The Company has established a structured and proactive risk management framework to identify, assess, monitor, and mitigate key business risks across its infrastructure and power operations. The Board of Directors is regularly briefed on risk assessments and minimization strategies to ensure informed decision-making and business continuity.
With the realignment of focus toward infrastructure and renewable energy, the Company faces sector-specific and macroeconomic risks, including:
assets and smart grid infrastructure;
While competition in the infrastructure space remains intense and government-dependent, the Companys focus on execution efficiency, geographic diversification, and partnerships with public and private sector players helps mitigate concentration risks. In the power segment, the Company is investing in risk-resilient technologies and regulatory engagement to navigate early-stage uncertainties. Strategic planning, rigorous internal controls, and a commitment to ESG standards are integral to the Companys approach to sustainable and risk-aware growth.
INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
The Company continues to maintain a robust and well- integrated internal control system, designed to ensure the safeguarding of assets, the accuracy and reliability of financial records, and compliance with applicable laws and regulations. As the Company transitions into infrastructure and power segments, internal control processes have been realigned to reflect the evolving risk profile, operational complexity, and regulatory landscape of these sectors.
A comprehensive, risk-based internal audit programme— reviewed by both management and the Audit Committee— assesses the effectiveness of internal controls across operational, financial, and compliance functions. These audits are conducted by a dedicated internal audit team supported by external professionals where necessary. Any observed control gaps or process inefficiencies are promptly communicated to the respective departments and addressed through corrective action plans. During the year, no material weaknesses or significant deficiencies were reported in the design or operation of internal controls.
The Companys internal control framework remains commensurate with its size, nature, and operational complexity. It comprises a well-defined organizational structure, documented policies and procedures, authority delegation matrices, and clearly articulated roles and responsibilities. Internal controls are also an integral component of the Companys corporate governance structure, ensuring operational efficiency, accurate financial reporting, and full regulatory compliance.
DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE
The financial year 2024–25 was a year of continued strategic transformation for the Company, marked by a sharper focus on infrastructure and power sectors following the demerger of the real estate business. Despite facing global economic challenges, including inflationary pressures and geopolitical uncertainties, the Company was able to maintain strong operational performance and deliver stable financial results.
The financial highlight including the operational performance of the Company is stated hereunder, in brief:
(Rs. In Lakhs)
Particulars |
2024-25 | 2023-24 |
Total Revenue from Operations |
10,770.76 | 6,721.61 |
EBIDTA |
294.46 | 361.53 |
PAT |
553.70 | 269.16 |
Basic EPS |
0.32 | 0.16 |
MATERIAL DEVELOPMENTS IN HUMAN RESOURCES/ INDUSTRIAL RELATIONS FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED
The Company continues to be led by a team of competent and passionate leaders, supported by a vibrant workforce that is essential to its growth, particularly in the evolving infrastructure and power sectors. We remain committed to fostering a culture of transparency, open communication, and collaboration across all levels, which is fundamental to the Companys values and operational success. The workforce, comprising 9 (Nine) employees at the end of financial year 2024–25, is an ideal mix of experienced professionals and young, dynamic talent, bringing a blend of innovative ideas and practical expertise to the Companys strategic initiatives.
The Companys HR focus is to unlock the full potential of
its people by developing their functional, operational, and behavioral competencies. In line with this vision, the Company has prioritized skill development, particularly in power sector technologies, renewable energy solutions, project management, and smart grid infrastructure. To ensure that employees are well-equipped to manage complex, high-value projects and deliver them within target schedules, the Company has implemented extensive training programs, leadership development initiatives, and mentorship opportunities.
At the core of RDB Groups philosophy is the belief that professionals are its most valuable asset. As part of this commitment, the Company continues to invest in its workforces growth and development, creating a positive and inclusive work environment that nurtures continuous learning, innovation, and excellence. This strategic focus on employee development is crucial not only for individual success but also for achieving organizational goals and sustaining long-term growth, particularly as we expand into the power sector. The Companys culture promotes a collaborative spirit, employee engagement, and a strong focus on safety and well-being, especially in the challenging environments of infrastructure development and power generation.
DETAILS OF SIGNIFICANT CHANGES (I.E. CHANGE OF 25% OR MORE AS COMPARED TO THE IMMEDIATELY PREVIOUS FINANCIAL YEAR) IN KEY FINANCIAL RATIOS, ALONG WITH DETAILED EXPLANATIONS THEREFOR, INCLUDING
Pursuant to the provisions of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the details of key financial ratios along with the reasons for significant changes therein are given below:
Sr. No. |
Particulars | For the year ended 31st March, 2025 | For the year ended 31st March, 2024 | Reasons for significant change (if any) |
1 |
Debtors Turnover | 2.68 | 4.87 | Due to increase in average trade receivables. |
2 |
Inventory Turnover | 0.95 | 0.66 | The inventory turnover ratio has increased during the year primarily due to increase in sales |
3 |
Interest Coverage Ratio | 2.65 | 25.77 | Due to decrease in the interest expenses |
4 |
Current Ratio | 1.76 | 1.17 | Due to increase in overall current assets |
5 |
Debt Equity Ratio | 0.53 | 2.67 | Due to increase in retained earnings and decrease in debt obligations |
6 |
Operating Profit Margin (%) | 6.64% | 5.31% | Due to increase in income |
7 |
Net Profit Margin (%) | 5.05% | 3.97% | Due to increase in turnover |
Note:
DETAILS OF ANY CHANGE IN RETURN ON NET WORTH AS COMPARED TO THE IMMEDIATELY PREVIOUS FINANCIAL YEAR ALONG WITH A DETAILED EXPLANATION THEREOF
Particulars |
For the year ended 31st March, 2025 | For the year ended 31st March, 2024 | Reasons for change (if any) |
Return on Net Worth |
3.83 | 7.19 | Due to change in Net Worth |
CAUTIONARY STATEMENT
Statements in this Management Discussion and Analysis Report, describing the Companys objectives, projections, estimates, and expectations, may be "forward-looking statements" within the meaning of applicable securities laws and regulations. These forward-looking statements are based on the Companys current beliefs, assumptions, and expectations, and are subject to inherent risks and uncertainties. Actual results may differ materially from those expressed or implied due to various factors, including but not limited to economic conditions, demand
and supply dynamics, price fluctuations in the domestic markets, changes in government regulations, tax laws, and other statutes, as well as unforeseen external events or circumstances.
The Company undertakes no obligation to publicly update or revise any forward-looking statements based on any new information, subsequent events, or developments. Therefore, readers are cautioned not to place undue reliance on such forward-looking statements, as the Company cannot guarantee that any of these expectations will be realized.
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