Infra.Market reports over $2 Bn gross revenue in FY25; profit falls 42%

Building materials unicorn Infra.Market, which has confidentially filed its IPO papers to raise Rs 5,000 crore, delivered another strong top-line performance with 27% year-on-year increase in its gross revenue in FY25. Despite the decent growth, its bottom line declined by 42% in the same period.

Infra.Market’s gross revenue grew 27% to Rs 18,472 crore ($2.1 billion) during FY25, compared to Rs 14,530 crore in FY24, as per its consolidated financial statements with the Registrar of Companies (RoC).

Infra.Market operates across three core verticals: Structural products, finishing products, and lifestyle products, along with allied services linked to product sales.

Structural products, which include concrete and other construction materials, remained the company’s largest revenue driver, contributing over 60% of the total revenue and clocking Rs 11,176 crore in FY25. The finishing products vertical, comprising plumbing, walling and roofing solutions as well as plywood and laminates, reported revenue of Rs 1,924 crore during the year.

The lifestyle products segment, which includes modular kitchens, consumer appliances, paints and other related offerings, generated Rs 2,487 crore in FY25. Beyond product sales, Infra.Market is also engaged in construction services for infrastructure projects, equipment rental, and exterior painting services. Revenue from the sale of construction equipment, spare parts, chemicals, and these allied services added another Rs 2,884 crore in the previous fiscal.

The company also booked a non-operating revenue of Rs 84 crore which drove its total income to Rs 18,556 crore during the last fiscal year, compared to Rs 213 crore non-operating income in FY24.

On the expense side, the cost of procurement of construction material and equipment formed 75% of the total expenditure, amounting to Rs 13,751 crore in FY25. Its employee benefit expenses surged 41% to Rs 564 crore in the period, which includes Rs 40 crore worth of ESOP cost.

The company’s finance cost and freight and forwarding expenses rose 45% and 47% to Rs 805 crore and Rs 631 crore, respectively. Other overheads, including power & fuel, legal & professional, traveling expenses, impairment loss on financial assets, drove the total expenses to Rs 18,250 crore in FY25, compared to Rs 14,272 crore in FY24.

While the company’s revenue and overall expenses grew at a similar pace in the last fiscal year, a 60% decline in non-operating income and a rise in overhead costs, including finance and depreciation expenses, dragged profit down 42% to Rs 220 crore in FY25 from Rs 378 crore in FY24.

Coming to ratios, the EBITDA margin improved to 7.97%, while ROCE stood at 12.11% in FY25. The expense-to-operating-revenue ratio (unit economics) of the Mumbai-based company remained flat at Rs 0.99.

The firm operates in a competitive space alongside OfBusiness, Zetwerk and Moglix. Zetwerk reported revenue of Rs 12,798 crore in FY25, while the other two are yet to disclose their FY25 numbers. In FY24, OfBusiness recorded a gross revenue of Rs 19,296 crore, while Moglix posted Rs 4,964 crore.