Ravita Engineering Services

Industrial plants require controlled temperature, ventilation and humidity to support process reliability and worker safety. Commercial buildings also require installed systems before occupation and maintenance after commissioning. This supports work for qualified project contractors, although equipment demand alone does not ensure a particular contractor’s order win or cash collection. Ravita’s onshore execution growth gives it current exposure to this demand channel.

The key drivers are:

• D&B estimates overall HVAC spending grew from INR 101,637 Cr in FY21 to INR 145,000 Cr in FY25, approximately 9.3% CAGR across four intervals

• Factories and data centres together constitute the study’s INR 29,000 Cr FY25 industrial segment; offices, malls and hospitals are included in its separate commercial segment

• Process cooling, filtration and contaminant control create specialised installation requirements in chemicals, automotive, food processing and pharmaceutical plants

• Ravita’s onshore project awards rose from five in FY25 to 20 in FY26, while related project revenue increased from INR 39.3 Cr to INR 145.4 Cr

Data centres require continuous cooling, redundancy and maintenance as server density and compute workloads increase. New installations create EPIC work, and commissioned facilities create service demand. Ravita’s historical data-centre revenue has been O&M-led, while the two June 2026 EPIC orders expand its execution scope. That transition provides a larger opportunity but requires proof of installation capability and collection performance.

The key drivers are:

• The D&B chart estimates Indian data-centre capacity at 2,070 MW in FY25 and projects 3,400 MW in FY30; these endpoints imply approximately 10.4% CAGR

• D&B describes precision cooling, containment, hybrid and liquid-assisted cooling as responses to higher heat loads. These require more engineering and commissioning than ordinary comfort cooling

• FY26 Ravita data-centre revenue was INR 33.1 Cr. Its June 2026 data-centre order book was INR 177.6 Cr, or 36.2% of the total book

As the installed HVAC base expands, owners must fund operations, servicing, preventive maintenance and periodic replacement. Contractors familiar with a site’s systems can win renewals, but those renewals depend on service performance and procurement processes. Ravita’s O&M business supplies a recurring component; its smaller percentage of revenue reflects rapid EPIC expansion rather than a fall in O&M revenue.
The key drivers are:

• D&B estimates industrial HVAC services and operations at 51% of spending in FY25, rising to a forecast 55% by FY30

• Commercial HVAC services and operations are estimated at 54% in FY25 and forecast at 57% in FY30

• Ravita’s O&M revenue increased from INR 11.5 Cr in FY24 to INR 52.7 Cr in FY25 and INR 66.6 Cr in FY26, despite its share declining from 85.1% to 24.0%

HVAC and electro-mechanical contracting combines competitive pricing with equipment procurement, skilled installation and customer certification. A contractor can report growth before collecting cash, particularly when material advances, retentions and guarantees accompany larger orders. Technology changes also increase training and design requirements. These risks are especially relevant to companies expanding from maintenance into larger installation and allied infrastructure projects.

The key risks are:

• Steel, refrigerants, electronics and specialised equipment costs can change between bid submission and procurement; contractual escalation coverage varies

• Critical chillers, controls and imported components can have long lead times, delaying installation, commissioning and billing

• Shortages of trained engineers and technicians can raise labour costs or weaken execution quality; new cooling technologies require continuing training

• Tender competition and price-sensitive buyers can compress margins, while customer capex cycles, certification delays and retentions increase the funding burden

Cooling efficiency policy and domestic component manufacturing can support demand for efficient systems and strengthen supplier capacity. For Ravita, these are mainly indirect demand and procurement benefits. The reviewed disclosures do not establish eligibility for an HVAC manufacturing subsidy or a grant to fund the proposed IPO equipment purchases. Policy support should therefore be considered alongside procurement, technical and cash-flow execution requirements.
The key policies are:

• ECSBC 2024 provides a framework for energy-efficient commercial buildings, including HVAC design and equipment standards. It is not evidence of uniform enforcement across all states or projects

• The India Cooling Action Plan sets a long-term direction covering cooling demand, refrigerant transition, energy efficiency and skills through 2037–38; it is not a revenue commitment to the Company

• BEE’s Standards and Labelling programme covers air-conditioning equipment and chillers, encouraging equipment selection based on energy performance. Ravita must source equipment suited to each applicable specification

• The PLI scheme for white goods supports selected AC-component and LED manufacturers. PIB’s January 2026 update reports 85 selected companies and expected investment of INR 11,198 Cr; no Ravita beneficiary status is established in this report