The point I’m trying to make is the Design & Build Business is an altogether different business than what they are currently doing.
Their earlier business model of working on themes for office spaces/designs (based on my understanding) doesn’t involve as many challenges as the Design & Build Business will bring in. At the same time, Design business (w/o Build part) in itself is lucrative and a cash cow while D&B business makes you another contractor in the market.
If company is foraying into D&B there’s a high change that they understand the limitation of their Design business (or it has reached the saturation) and now they are entering into an inferior business altogether. D&B business is a cash guzzler in terms of Working Capital and Customer penalties,etc., There’s a reason you don’t see lot of big companies in D&B business.
Hope I was able to convey my perspective.
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Did 6+ crores revenue in Q3 and have a order book of 10 crores,
Most prolly revenue for Q4 will be around 14+ crores,
Quite a good growth for FY25 as whole and even for H2,
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Many thanks for these details, very helpful… One question I wanted to throw open for discussion here is related to the new facility…How does there business really change after the new 7500sq ft. facility becomes operational? Is it just some backward integration stuff impacting margins and delivery OR does this new facility also increase there design prowess, makes them more creative and independent in design ideas?? If its the later, then it could be a game changer…Any thoughts??
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