Q1 results is a mixed bag. Sales is holding up but there is a sharp drop in gross profits (y-o-y). Looks like gross margins will remain at 40% going by trend over last 4 quarters. 60% PAT growth is due to low base which in turn was due to impact of GST last year. On absolute basis, net margins of 3% is low.
I agree with @deevee about free cashflow or lack of it. Company is generating healthy operating cashflow but reinvesting all of it plus some more in assets so it has to borrow money every year to keep up with the capex. Trouble is, with all these heavy capex, we should expect sales growth of at least 30% which is not coming in. Sales growth over the last 5 years has averaged 15% which should be self-funded without any additional borrowing. Debt should have gone down instead of going up.
Such companies should be valued at close to book value (or lower) given their heavy debt load and low margins. I will value the company at 250-300 Cr compared to current market cap of 450 cr. Prior to 2015, this company was valued at book value.