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Recommendation Rationale

* Strong Order Book: Skipper received new orders totalling Rs 1,243 Cr in Q2FY26, which included three large wins from PGCIL and key other export markets. As of Sep’25, the order book stood at its highest ever at Rs 8,820 Cr. The order book comprises 76% domestic T&D orders, 13% non-T&D orders (including Telecom, Railways, Solar, Water EPC, and other Steel Structural items), and 11% export orders. All export orders pertain to T&D. The company currently has a strong bid pipeline of more than Rs 30,000 Cr (with a 25% historical order conversion success rate). The management expects the company’s orderbook to be ~Rs 9,000 Cr – Rs 10,000 Cr by the end of FY26.

* Capacity Expansion status: The new 75 ktpa plant is now operational and has commenced its commercial production. The 2nd 75 ktpa capacity is also expected to go online by the end of FY26, taking its total capacity to 450 ktpa. The company is confident of increasing its capacity to 600 ktpa by the end of FY29, making it the world’s largest transmission tower manufacturer.

* Export Opportunities: Exports stood at 11% of the company’s order book as of Sep’25. The company is exploring new opportunities in new markets. It already has a strong presence in the Middle East, Africa, and Latin American Markets. The company is also exploring growth opportunities in developed markets like North America and Europe; however, they may take time to materialise. The company has completed successful plant audits for new potential customers from the Middle East and North America. It targets to achieve 50% export orders in its order book in the long term.

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