GV Electricals Ltd. IPO

G V Electricals 

• G V Electricals is coming out with an initial public offering (IPO) of 32,50,000 shares in a price band of Rs 123-130 per equity share.
• The issue will open on July 31, 2026 and will close on August 04, 2026.
• The shares will be listed on SME Platform of BSE.
• The face value of the share is Rs 10 and is priced 12.30 times of its face value on the lower side and 13.00 times on the higher side.
• Book running lead manager to the issue is Seren Capital.
• Compliance officer for the issue is Aarti Garg.

Profile of the company

G V Electricals is a power distribution infrastructure services provider engaged in providing operation and maintenance (O&M) and allied support services primarily to electricity distribution utilities in India. Its services support such utilities in the operation, maintenance and field-level execution of works relating to their electricity distribution networks (Network(s)) and associated infrastructure, including distribution lines, feeders, substations, poles and cables forming part of electricity distribution systems used for distribution of electricity to consumers. Its operations are broadly organized into three service verticals: i) Network Operation and Maintenance (O&M) Services, ii) Electrical Infrastructure and Network Development Works, and iii) Metering and Meter Management Services. These verticals collectively cover operational and maintenance support for distribution networks, execution of electrical infrastructure works associated with distribution systems, and metering-related field services undertaken for electricity distribution utilities. 

Under its Network O&M Services vertical, it undertakes maintenance and operational support of electrical distribution systems across multiple voltage levels, including 33 kV, 11 kV and low-tension (LT) networks, provide O&M support for 33/11 kV substations and deploy technical manpower for field operations such as line maintenance, network inspection and fault rectification. Under the Electrical Infrastructure and Network Development Works vertical, it undertakes allied electrical and civil works relating to electricity distribution infrastructure, including pole-related works such as erection and shifting of poles, cable-related works including laying, jointing and termination of underground and overhead cables, and civil works such as excavation, foundation works, construction of plinths and other supporting civil structures required for installation, maintenance or restoration of distribution infrastructure. Under the Metering and Meter Management Services vertical, it undertakes metering-related field services for electricity distribution utilities, including installation and replacement of energy meters, meter testing, meter reading and other related metering support activities carried out in accordance with operational requirements specified by the relevant utilities. 

Its contracts are typically awarded through competitive tender processes conducted by electricity distribution utilities, pursuant to which it enters into rate contracts, outline agreements or annual maintenance contracts (AMC) for defined service areas and contract periods. Under such arrangements, specific purchase orders or work orders are issued from time to time for execution of defined services. In certain cases, particularly for private sector clients, services may also be awarded directly through work orders or purchase orders. In the course of executing such contracts, its operations involve deployment of field personnel, including supervisors, linemen, technicians and helpers, across designated service areas. Its field teams undertake operational and maintenance activities in accordance with the operational requirements specified by the relevant electricity distribution utilities and are supported by operational vehicles, tools and equipment required for carrying out inspection, maintenance and restoration activities across distribution networks. Meanwhile, it has obtained ISO 9001:2015, ISO 14001:2015, ISO 45001:2018 and SA 8000:2014 certifications for its management systems covering quality, environmental, occupational health and safety and social accountability aspects of its operations.

Proceed is being used for:

• Repayment of a portion of certain borrowings availed by the company
• Funding of working capital requirements 
• General corporate purpose 

Industry overview

India’s power sector is in a phase of sustained structural expansion, driven by rising electricity demand and large, pre-planned investments across generation, transmission and distribution infrastructure. Power Engineering, Procurement and Construction (Power EPC) plays a central role in executing this build-out, particularly in high voltage transmission systems and distribution network modernisation required to support incremental demand and renewable energy integration. The Indian Power EPC market is estimated at $23.57 billion in 2025 and is projected to reach $60.72 billion by 2030, implying a CAGR of 20.83%. India's gross electricity demand in FY 2024-25 reached approximately 1,694 TWh, up 17% from FY23 levels. Installed generation capacity has crossed 475 GW as of February 2026, with fossil fuels accounting for a little over half of total capacity and non-fossil sources - renewables, hydro and nuclear - forming the balance, reflecting a diversified but coal-dominant generation mix. Central Electricity Authority and the Ministry of Power recognise India as the world's third-largest power generation market by installed capacity and electricity output.

India’s Power T&D, EPC and O&M industry is supported by a quantified, policy-led expansion of grid infrastructure, combined with distribution modernization, renewable energy integration and increasing lifecycle. Under the National Electricity Plan - Transmission (NEP-T) for FY2022-23 to FY2031-32, capital expenditure of approximately Rs 9.12-9.15 lakh crore is envisaged toward inter-state and intra-state transmission lines, substations and HVDC systems. In parallel, the Revamped Distribution Sector Scheme provides an outlay of Rs 3.03 lakh crore through March 2028 for loss reduction, network strengthening and smart metering. Industry activity is further supported by tender pipelines published by the Central Transmission Utility, State Transmission Utilities and the National Infrastructure Pipeline / India Investment Grid, which provide forward visibility across transmission corridors, substations and distribution projects, enabling capacity planning and geographic diversification by EPC contractors while supporting predictable transition of completed assets into O&M portfolios.

The Government of India has implemented targeted policy measures to strengthen power transmission and distribution (T&D) infrastructure, with a dual focus on capacity expansion and operational efficiency These initiatives create sustained demand across EPC activities, which are primarily one-time, capital-expenditure driven, and O&M services, which generate recurring, annuity-linked revenues through lifecycle management of transmission and distribution assets. These policies support grid expansion, loss reduction, renewable evacuation and digitalization of distribution networks, directly benefiting contractors engaged in high-voltage transmission, substations, distribution systems and network operations.

Pros and strengths

Presence across electrical infrastructure activities: It operates in the electrical infrastructure sector and provides services across multiple activities relating to electricity distribution networks. Its operations are carried out across three principal service verticals: i) Network Operation and Maintenance (O&M) Services, ii) Electrical Infrastructure and Network Development Works, and iii) Metering and Meter Management Services. Its scope of services includes installation, testing and commissioning of distribution systems across 33 kV, 11 kV, high-tension (HT) and low-tension (LT) networks, as well as system monitoring, fault detection, troubleshooting and repair of distribution networks and substations. Such services are typically executed under annual maintenance contracts, rate contracts or similar arrangements for defined periods. These arrangements involve periodic or recurring billing during the contract tenure, as compared to project-based execution, which provides revenue visibility over the duration of such contracts.

Order book providing revenue visibility: The company has been awarded contracts by electricity distribution utilities, government authorities and other customers for execution of electrical infrastructure projects and provision of operation and maintenance services. As of June 30, 2026, its order book in respect of ongoing projects comprised 34 projects, with an aggregate value of unexecuted work of around Rs 553.70 crore, primarily from electricity distribution utilities. Its order book consists of projects relating to operation and maintenance services, metering services and electrical infrastructure works across multiple locations. Such projects are executed over specified contract periods and involve billing based on milestones, periodic services or work orders, depending on the nature of the contract. The existence of an order book enables planning of deployment of manpower, materials and other resources for execution of such projects. Its order book provides visibility of revenues from ongoing projects over the tenure of such contracts. 

Majority of revenue from repetitive customers: It has received work orders from electricity distribution utilities, government authorities and other customers. A portion of its contracts are executed pursuant to rate contracts, framework arrangements and similar contractual arrangements, under which work orders may be issued from time to time based on customer requirements. For the FY 23-24, FY 24-25, and FY 25-26 the revenue from Repetitive Customers accounts for 99.28%, 97.14%, and 88.29% of total revenue from operations respectively. A portion of its revenues is derived from customers with whom it had prior engagements. Work orders under such arrangements may be issued based on operational requirements of customers. Repeat orders may reduce the time required for mobilization and participation in bidding processes, subject to the terms of such arrangements and continued eligibility. Its ability to continue to receive repeat orders is dependent on various factors, including performance of existing contracts, customer requirements, competitive bidding processes and other external factors.

Risks and concerns

Major portion of revenue derives from power distribution utilities: It is a power distribution infrastructure services provider engaged in providing O&M and allied support services primarily to electricity distribution utilities in India. Accordingly, a significant portion of its business is derived from projects and service assignments undertaken for such utilities. The demand for its services is directly linked to the level of investment in electricity distribution infrastructure, including maintenance, upgradation and expansion of distribution networks and metering initiatives. These investments are influenced by various factors, including capital expenditure programmes of electricity distribution utilities, availability of funding, government policies and reforms in the power sector, and implementation of sectoral schemes such as the Revamped Distribution Sector Scheme (RDSS). Any reduction or delay in capital expenditure, regulatory framework or sectoral priorities, or any constraints affecting the investment capacity of electricity distribution utilities, may reduce the demand for its services.

Substantial revenue dependence on Network O&M services: A substantial portion of Its revenue from operations is derived from Network Operation and Maintenance (O&M) Services. Revenue from this services vertical contributed around 76.90%, 79.26% and 75.81% of its revenue from operations for the financial years March 2026, March 2025 and March 2024 respectively. Its O&M Services involve maintenance and operational support of electricity distribution networks, including distribution lines, feeders and substations, and are typically performed pursuant to contracts awarded for defined service areas and periods. The demand for such services is dependent on the operational requirements, maintenance programmes and budgetary allocations of electricity distribution utilities. Any reduction in the scope of O&M activities, non-renewal or modification of existing service arrangements, or changes in maintenance practices or outsourcing policies of electricity distribution utilities may affect the volume of work available under this service vertical.

Competitive tendering central to revenue generation: Its business is substantially dependent on securing contracts through competitive tendering processes conducted by electricity distribution utilities, although in certain cases work orders may be awarded directly through purchase orders based on operational requirements. Such tenders typically require bidders to meet prescribed technical qualifications, financial eligibility criteria and other conditions, and contracts are generally awarded based on evaluation of technical capability and commercial bids. Its ability to secure contracts depends on its ability to meet the eligibility requirements specified in tender documents, including criteria relating to prior experience, financial capacity, technical qualifications, availability of manpower and statutory registrations. These eligibility criteria may vary depending on the size, scope and complexity of the project and may become more stringent over time. Any failure to secure contracts through competitive tendering processes, inability to meet eligibility requirements, or sustained pressure on pricing or margins may adversely affect its business, results of operations, financial condition and cash flows.

Outlook

G V Electricals is engaged in the business of electrical infrastructure projects, operation and maintenance (O&M) services and meter and metering related services. A portion of its revenues is derived from customers with whom it had prior engagements. Work orders under such arrangements may be issued based on operational requirements of customers. Repeat orders may reduce the time required for mobilization and participation in bidding processes, subject to the terms of such arrangements and continued eligibility. On the concern side, a significant portion of its revenue from operations is derived from a limited number of customers, primarily comprising electricity distribution utilities engaged in development and maintenance of electrical distribution infrastructure. The contribution of its top 10 customers accounted for 94.76%, 97.74% and 98.82% of its revenue from operations for the fiscal years 2026, 2025 and 2024, respectively. Accordingly, its revenue from operations is concentrated among a limited number of customers.

The company is coming out with a maiden IPO of 32,50,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 123-130 per equity share. The aggregate size of the offer is around Rs 39.98 crore to Rs 42.25 crore based on lower and upper price band respectively. On performance front, the revenue from operations of the company for FY25-26 was Rs 15,641.29 lakh as against Rs 13,123.56 lakh for FY24-25, an increase of 19.18%. Profit after tax for the FY25-26 was at Rs 1,046.57 lakh against profit after tax of Rs 466.08 lakh in FY24-25, a surge of 124.55%.

Meanwhile, it proposes to focus on expanding its Electrical Infrastructure and Network Development Works vertical as part of its business operations. Revenue from this segment constituted 14.66%, 7.67% and 13.53% of its revenue from operations for the Fiscal 2026, Fiscal 2025 and Fiscal 2024, respectively. Under this vertical, it undertakes execution of electrical infrastructure projects involving installation and development of distribution systems and associated infrastructure. Going forward, it intends to expand its geographical presence by increasing participation in projects across additional states and regions, while continuing operations in markets where it has prior execution experience. This includes bidding for infrastructure projects in regions witnessing investment in power distribution strengthening, subject to availability of suitable tender opportunities.