Praj Industries, in a world where everyone is constantly concerned about the changing climate and sustainability of traditional energy sources, is leading the path towards a greener future. Praj Industries stands tall due to its innovation and sustainability. The company was founded in 1983 and has been a key player in the ethanol industry ever since.
Praj Industries Financial Overview
Praj Industries has shown great resilience in its financial performance, with a significantly upward growth trajectory. In FY23, the company increased its revenue by almost 50%, from 2343.27 crores to 3528.04 crores. In 4 years, Prag Industries’ revenue increased with a compound annual growth rate (CAGR) of 47.37%.
Simultaneously, its revenue saw a jump of 60% in comparison to last year, from 150.24 crores to 239.82 crores, and has a 50.44% 4-year CAGR. Praj Industries maintained good financial metrics with an ROE (return on equity) of 24.06% and an ROCE (roce) of 30.97% in the same fiscal year.
Praj Industries 3 business segments.
- Praj is a global leader in biofuel technology solutions, and they provide end-to-end solutions for the ethanol industry. This segment is responsible for 74% of the company’s revenue and focuses on designing, engineering, and commissioning ethanol plants worldwide.
- Praj Hybridity Systems offers solutions to various industries like biopharmaceuticals, biotech, and F&B (food and beverage), ensuring sterile process water generation and storage systems. It contributed 7% of FY23’s total revenue.
- Praj’s Engineering business accounts for 19% of the revenue of the company. This segment focuses on water treatment, the manufacturing of machines for oil companies, and also brewing beer.
Despite the recent challenges the company had to face due to changes in government policy, Praj Industries thinking remains forward-thinking in its approach. The company is actively solving its livestock problem by collaborating with its customers to transition from single-feedstock plants to multi-feedstock operations.
Moreover, Praj’s orderbook had 1030 crores of orders in this quarter and had pending orders of 3950 crores, which doesn’t do justice to its revenue visibility and growth. With 86% of its orders coming from the domestic market, Praj is well-positioned to capitalize on India’s push for renewable energy solutions
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