Rajesh Power Services Ltd has clinched a major infrastructure contract valued at Rs 615.3 million, reinforcing its position as a key player in India’s power and utility services sector. The announcement, made public following board-level confirmation, marks a significant milestone in the company’s ongoing expansion strategy and reflects growing demand for reliable energy infrastructure across the country.
Key Highlights of the Contract Win
The contract is valued at Rs 615.3 million and is expected to be executed over the next 18 to 24 months.
It involves turnkey execution of power distribution infrastructure, including substation upgrades, transmission line extensions, and smart metering installations.
The client is a state-backed utility board, though the name has not been officially disclosed at the time of reporting.
Rajesh Power Services will be responsible for engineering, procurement, construction, and commissioning under a single-window framework.
Strategic Importance of the Project
Strengthening Regional Footprint The awarded contract is located in a Tier-2 urban cluster in northern India, where demand for grid modernization and rural electrification is accelerating. Rajesh Power Services has previously executed similar projects in Uttar Pradesh, Rajasthan, and Madhya Pradesh, and this new engagement further deepens its regional presence.
Boosting Revenue Pipeline With this Rs 615.3 million addition, the company’s order book for FY 2025–26 crosses Rs 2,000 crore, offering strong visibility for future earnings. Analysts expect this contract to contribute approximately Rs 100–120 million in net revenue during the first year of execution.
Alignment with National Energy Goals The project aligns with India’s Revamped Distribution Sector Scheme (RDSS), which aims to reduce aggregate technical and commercial losses and improve power reliability. Rajesh Power’s role in deploying smart metering and grid automation supports the government’s push toward digital energy infrastructure.
Operational and Financial Implications
Execution Timeline and Workforce Mobilization The company will begin site mobilization by October 2025, with phased commissioning scheduled through mid-2027. Over 300 skilled and semi-skilled workers will be deployed, including engineers, technicians, and safety personnel.
Capital Allocation and Risk Management Funding for the project will be managed through internal accruals and short-term working capital loans. Rajesh Power has implemented a risk mitigation framework to address supply chain delays and regulatory compliance.
Technology Integration The project will incorporate SCADA systems, GIS mapping, and IoT-enabled smart meters. Rajesh Power is partnering with two OEMs for equipment supply, ensuring quality and timely delivery.
Market Reaction and Investor Sentiment
Shares of Rajesh Power Services rose 2.3 percent following the announcement, reflecting positive investor sentiment.
Brokerage firms have revised their short-term outlook on the stock, citing improved earnings visibility and operational scale.
The company’s focus on EPC contracts and digital infrastructure is seen as a strategic hedge against volatility in traditional power generation markets.
Leadership Commentary and Future Outlook
Senior management has expressed confidence in the company’s ability to deliver the project on schedule and within budget.
Rajesh Power is actively bidding for additional contracts in the renewable energy and EV charging segments, aiming to diversify its portfolio.
The company plans to invest in workforce training and digital tools to enhance execution efficiency and safety standards.
Conclusion
The Rs 615.3 million contract win by Rajesh Power Services Ltd is more than a financial boost—it’s a strategic affirmation of the company’s capabilities in delivering complex, high-impact infrastructure projects. As India’s energy landscape evolves, Rajesh Power is positioning itself at the intersection of reliability, innovation, and execution excellence.
Sources: Business Standard, Moneycontrol, Infrastructure Today India
