Mason Infratech Limited is real estate construction Company providing construction services for Residential as well as Commercial buildings of new and redevelopment projects. They specialize in executing civil contracts. They are also working on lifestyle projects and high-value standalone buildings. The comprehensive suite of offerings covers the entire project lifecycle, including planning, designing, procurement, construction, and post-construction services. Company provides end-to-end construction services for residential buildings ('Residential'), corporate office buildings and buildings for commercial purposes (collectively, 'Commercial'). The capabilities include constructing concrete building structures as well as composite steel structures. They also provide mechanical, electrical, and plumbing ('MEP') and finishing works. Company's primary operational focus lies within the Mumbai Metropolitan Region (MMR). With around 3.8 million sq. ft. of work in hand, the company’s focus is on timely execution of projects with premium quality of construction work. The company has received a Corporate Excellence Award in the year 2022 for Fastest Growing Construction Company (Integrated and Collaborative Working) from Brand Connect Network Private Limited. The total Contract value of the all the Projects till date from inception is Rs. 38,202.49 lakhs out of which the Company has booked order of worth Rs. 19,020.47 lakhs which is 49.79% of the total contract value of all the projects. The Company is yet to complete 50.21% of the work which has the value of worth Rs. 19,182.03 lakhs. As per financial performance, Mason Infratech Limited has posted total income / net profits of Rs 3.49 Cr / Rs 0.07 Cr (FY21), Rs 30.10 Cr / Rs 1.52 Cr (FY22), Rs 64.05 Cr / Rs 3.37 Cr (FY23) and Rs 56.90 Cr / Rs 5.09 Cr (upto Q3 FY24). So as per previous financials data, company has shown good growth. Company has posted an average EPS of Rs 1.76/- and average RoNW of 44.39% for last three fiscals. Issue is priced at a P/BV of 6.87 as per NAV of 9.32 as on 31.12.23. If we attribute latest earnings of FY22, FY23 and annualized FY24 on fully diluted equity post issue, then asking price is at a P/E of around 73.94, 33.37 and 16.57 respectively, which looks fully priced. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, Expert Global Consultants Private Limited is associated with this SME IPO and handled 8 SME IPOs in last 3 year. From last 8 SME IPOs, one opened below issue price and remaining above issue price or at par on the day of listing. As of now from last 8 SME IPOs, three are trading below issue price and remaining are trading above issue price. ( As on 20.06.24 ) As per financials, Mason Infratech Limited has shown good growth, RoNW is 51.32% and P/E is respectively 73.94, 33.37 and 16.57 as per FY22, FY23 and FY24 earnings. So, issue looks fully priced, but sustainability of the growth will be major concern. Company is real estate construction Company providing construction services for Residential as well as Commercial buildings of new and redevelopment projects, which is highly competitive and fragmented business segment. Performance of BRLM is good. So, we give NEUTRAL rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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