Simplex Infrastructures Limited (SIMPLEXINF) AI Stock Analysis

• Market Cap: ₹14.73B
• Dividend Yield: N/A
• Average Volume (3M): 6.58K
• Price to Earnings (P/E): 62.2
• Beta (1Y): 1.40
• Revenue Growth: -19.24%
• EPS Growth: -35.09%
• Country: IN
• Employees: 846
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.99
• Shares Outstanding: 79,095,345
• 10 Day Avg. Volume: 4,012
• 30 Day Avg. Volume: 6,584
• PEG Ratio: -1.36
• Price to Book (P/B): 3.49
• Price to Sales (P/S): 1.70
• P/FCF Ratio: 10.12
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: ₹171.00 ▼(-32.28% Downside)
• Action: Reiterated Date: 01/24/26
• Date: Action: Reiterated 01/24/26

Overall score is held down primarily by weak financial performance (losses, negative operating margins, and high leverage) and a clearly bearish technical setup (below major moving averages with negative MACD). Valuation is only moderately supportive given the P/E and lack of dividend data.

Positive Factors

Contract-based revenue model

The EPC contract model yields milestone-linked cash inflows, variation orders and claim recovery potential, creating a durable revenue mechanics tied to project delivery. Over 2-6 months this supports predictable billing and the ability to monetize ongoing projects if execution and claims are managed.

Recent positive free cash flow shift

A recent move to positive free cash flow indicates improving cash conversion from operations and reduced reliance on financing. If sustained, this strengthens liquidity, enables debt servicing and selective capex, and materially reduces short-to-medium term solvency risk versus past periods.

Established EPC capabilities and scale

Broad EPC experience across transportation, buildings and industrial projects and a sizable workforce underpin delivery capability and client relationships. This structural operational capacity supports bid competitiveness, scope expansion and repeat business over the medium term.

Negative Factors

Declining revenue and persistent losses

Sustained revenue decline and negative operating profitability indicate structural margin pressure and inability to convert scale into profit. Over 2-6 months, continuing losses constrain reinvestment, weaken contract competitiveness and risk covenant breaches unless margins recover.

High leverage and thin equity buffer

A heavily indebted balance sheet with low equity provides limited shock absorption and raises refinancing and interest-servicing risk. In the medium term this constrains strategic flexibility and increases vulnerability to project delays, cost overruns, or weaker cash receipts.

Historic negative operating cash flow

A history of negative operating cash flow signals recurring working-capital strain and dependence on external financing or advances. Unless operating cash generation is sustained, this structural weakness can impede timely supplier payments, slow project execution and raise counterparty risk.

Simplex Infrastructures Limited Business Overview & Revenue Model

Company Description

Simplex Infrastructures Limited provides construction and engineering services for the piling, energy and power, building and housing, marine, roads and highways, railways, urban infrastructure, real estate, and other sectors in India and internationally. The company builds rail infrastructure, including rail tracks, station buildings, bridges, and culverts; and designs and constructs high-rise infrastructure, such as multi-storeyed residential towers, institutional/IT buildings, hotels, hospitals, and mass housing projects. It also builds industrial structures comprising steel and power plants; and undertakes projects for cement, aluminum, copper, engineering, automobiles, petrochemicals, fertilizers, paper textiles, pharmaceuticals, chemicals, and other industrial plants. In addition, the company engages in erecting various types of power infrastructures that include thermal, hydel, and nuclear, as well as ultra-mega power projects; underwater piling, which comprise steel piling; and building bridges across rivers. Further, it undertakes ground engineering projects, including pre-cast piling and jointed piling, cast-in-situ, driven, and bored piling, as well as soil investigation, soil compaction, diaphragm walls, grouting, stone columns, etc. Additionally, the company offers airport renovation and modernization; and oil drilling services, as well as engages in the equipment hire business activities. Simplex Infrastructures Limited was incorporated in 1924 and is based in Kolkata, India.

How the Company Makes Money

Simplex Infrastructures primarily generates revenue by executing construction/EPC contracts for clients, where it is paid based on project milestones, certified measurements/progress bills, or agreed contract schedules (depending on contract terms). Key revenue streams typically include: (1) contract revenue from construction and infrastructure projects (the largest driver), (2) variation orders/extra items and change requests that increase contract value when scope changes are approved, and (3) claims, escalation, and incentive/bonus payments where contract provisions allow recovery for delays, price changes, or early completion. Profitability is driven by project gross margins (difference between contract value and execution costs such as materials, subcontractors, labor, equipment, and site overheads) and by the company’s ability to manage working capital (receivables, retention money, mobilization advances, and payables). Information on any current significant partnerships, specific customer concentration, or segment-wise revenue split is not available here and is therefore null.

Simplex Infrastructures Limited Financial Statement Overview

Summary

Weak fundamentals: declining revenues, negative EBITDA/EBIT margins and persistent net losses (Income Statement score 45). High leverage and a thin equity buffer raise financial risk (Balance Sheet score 40). Cash flow shows a recent improvement to positive free cash flow, but the history of negative operating cash flow keeps liquidity risk elevated (Cash Flow score 50).

Income Statement

Simplex Infrastructures Limited exhibits a challenging income statement with declining revenues and profitability issues. The gross profit margin has dropped significantly over the years, and the company has faced persistent net losses, indicating financial distress. Despite a slight recovery in gross profit margin in recent periods, EBIT and EBITDA margins remain negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet reveals high leverage with a substantial debt-to-equity ratio, indicating a risky financial structure. Despite a modest increase in stockholders' equity recently, the equity ratio is still low, suggesting a limited buffer against financial volatility. The company's heavy reliance on debt could pose significant risks if revenue generation remains weak.

Cash Flow

Cash flow analysis shows some improvement, with a positive shift in free cash flow in the most recent year. However, historical operating cash flows have been consistently negative, posing liquidity concerns. The positive operating cash flow to net income ratio in recent times is a positive sign but needs to be sustained for long-term stability.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	10.02B	10.76B	13.88B	18.74B	20.30B	22.00B
Gross Profit	2.72B	1.36B	3.46B	4.63B	5.26B	1.36B
EBITDA	1.16B	900.60M	336.60M	1.08B	209.60M	749.50M
Net Income	453.80M	115.80M	-722.70M	-4.71B	-5.28B	-4.69B
Balance Sheet
Total Assets	42.41B	43.39B	104.14B	103.73B	98.68B	93.16B
Cash, Cash Equivalents and Short-Term Investments	8.14B	1.19B	571.40M	558.60M	242.40M	379.00M
Total Debt	18.44B	21.74B	71.80B	59.84B	53.54B	46.08B
Total Liabilities	33.03B	38.13B	101.80B	100.71B	91.17B	80.49B
Stockholders Equity	9.36B	5.24B	2.32B	3.01B	7.49B	12.67B
Cash Flow
Free Cash Flow	-440.40M	1.81B	-929.60M	-4.36B	-4.50B	-4.83B
Operating Cash Flow	-229.80M	2.11B	-826.90M	-4.32B	-4.47B	-4.83B
Investing Cash Flow	-2.22B	-302.10M	19.40M	2.05B	224.90M	787.20M
Financing Cash Flow	1.79B	-1.24B	833.80M	2.59B	4.04B	3.85B

Simplex Infrastructures Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 252.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SIMPLEXINF, the sentiment is Negative. The current price of 252.5 is above the 20-day moving average (MA) of 203.41, above the 50-day MA of 221.30, and below the 200-day MA of 269.12, indicating a bearish trend. The MACD of -13.18 indicates Positive momentum. The RSI at 26.53 is Positive, neither overbought nor oversold. The STOCH value of 11.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SIMPLEXINF.

Simplex Infrastructures Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KNRCON	74 Outperform	₹35.56B	11.13	―	0.16%	-42.73%	-44.36%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
DBL	60 Neutral	₹73.76B	2.45	―	0.21%	-13.57%	40.24%
HGINFRA	60 Neutral	₹33.09B	13.05	―	0.25%	-8.92%	-22.83%
HCC	45 Neutral	₹42.20B	118.38	―	―	-31.50%	-74.38%
SIMPLEXINF	44 Neutral	₹14.73B	62.16	―	―	-19.24%	-35.09%