As the world shifts toward sustainable energy solutions, Praj Industries has emerged as a key player in India’s bioeconomy sector. With a strong focus on ethanol production, compressed biogas (CBG), and sustainable aviation fuel (SAF), the company is well-positioned to benefit from government policies and global demand for clean energy. Investors are keen to understand its Praj Industries Share Price target for 2025, based on Centrum Broking’s latest research.
✅ Global process solutions company specializing in bioenergy, high-purity water, and engineering solutions
✅ Headquartered in Pune, India, operating in 100+ countries
✅ Leading innovator in biofuels, bioplastics, and decarbonization technologies
Despite a 📉 6.9% decline in revenue in FY25 due to execution delays, Praj Industries maintains a 📑 strong order backlog of ₹43.4 billion, indicating future growth potential. The company faced higher manpower costs at its new GenX facility, impacting EBITDA margins, which contracted to 9.8%. However, with the 🏭 Mangalore GenX plant now fully operational, a 📈 turnaround is expected in FY26-FY27.
💸 Revenue: ₹32.3 billion (-6.9% YoY)
📉 EBITDA Margin: 9.8% (down 97bps)
💼 Net Profit: ₹1.9 billion (-32.7% YoY)
📝 Order Backlog: ₹43.4 billion (up 12% YoY)
🎯 Target Price: ₹590 (revised down from ₹801)
🚀 Growth Drivers
♻️ Green Energy Push
✅ 20% ethanol blending target by 2025 benefits Praj Industries
✅ Expanding into CBG and SAF, strengthening its foothold in bioeconomy
🌎 Global Expansion
✅ Praj-BPCL JV for 10 CBG plants
✅ Partnerships with ThyssenKrupp for PLA projects
🛠️ Innovation & R&D
✅ Investments in second-generation ethanol, SAF, and bioplastics
🏭 Operational Efficiency
✅ Mangalore GenX facility now fully operational, easing execution bottlenecks
| 📅 Year | 🎯 Target Price (Centrum Broking) | 📊 Outlook |
|---|---|---|
| 2025 | ₹590 – ₹750 | Bullish |
⭐ Market leader in biofuels with a diversified portfolio of ethanol, CBG, SAF, and PLA
💪 Debt-free balance sheet and strong R&D focus
📢 Government-backed initiatives make it a compelling long-term investment
The ♻️ bioeconomy revolution is gaining momentum, and Praj Industries is at the forefront of this transformation. With 📈 rising global demand for clean fuels, the company is well-positioned for sustained growth. Investors with a 2–3 year horizon may find 2025 a pivotal year for Praj Industries.
❓ FAQs
Q1. Is Praj Industries debt-free?
✅ Yes, the company maintains a debt-free status, strengthening its financial position.
Q2. What sectors does Praj Industries operate in?
✅ Bioenergy, wastewater treatment, high-purity systems, and engineering solutions.
Q3. Which brokerage firm recommends Praj Industries?
🏦 Centrum Broking maintains a BUY rating with a target price of ₹590.
India’s healthcare space is undergoing a remarkable transformation. In the midst of this fast-evolving landscape,…
India’s mutual fund space is witnessing a tectonic shift. 📈 With over ₹55 lakh crore…
Farmers, get ready! PM KISAN Instalment is expected in June 2025. Learn about eligibility, e-KYC…
The stock market is a storybook written in candlesticks. 📘 And lately, IRCON International Ltd…
The Indian equity market has always had a complex relationship with Foreign Institutional Investors (FIIs).…
The Indian stock market is entering a new era. On May 29, 2025, SEBI rolled…
View Comments