M&B Engineering Ltd.

Our reasoning

M&B Engineering maintains a robust outlook, guiding for FY26 revenue of ₹1,250 crore with EBITDA margins near 13%. Backed by a record ₹1,059 crore order book, the company targets sustainable 20-25% annual growth for FY28. A strategic push into North American markets aims to raise high-margin export contributions to 20% of the total topline. Future capacity is supported by a 20,000 MTPA expansion at Sanand by Q2 FY27 and three additional mobile units to address high demand in the railway and warehousing sectors. The company is a primary beneficiary of the structural shift in construction from traditional RCC (Reinforced Cement Concrete) to PEB, which offer up to 50% faster project delivery. The company's Proflex division holds a commanding 75% market share in India's self-supported steel roofing segment as of FY24. Moreover, unlike competitors, the company operates 14 mobile manufacturing units. These units allow for on-site production of large-span roofs, eliminating the logistical costs associated with transporting factory-built panels and allowing for support-free spans that are impossible for unorganised players to replicate. We expect the M&B Engineering revenue, EBITDA, and PAT to grow at a CAGR of 21%/24%/30% over FY26- 28E.