Vishnu Prakash R Punglia Ltd. Boosts Liquidity with Major Debt Reduction

Jodhpur-based Vishnu Prakash R Punglia Limited, traded as VPRPL on the NSE and BSE, has navigated operational and financial challenges over the past nine months, primarily caused by external factors in the infrastructure sector. These challenges, including payment cycle realignments and liquidity constraints, do not reflect any intrinsic weaknesses within the company's core operations.

In a strategic move to stabilize liquidity and bolster project execution, the company's promoters have infused approximately ₹285 crores, interest-free, derived from stake sale proceeds. A significant financial turnaround has been accomplished with the repayment of around ₹328 crores in debt, amounting to nearly a 50% reduction in bank borrowings. Furthermore, the company's outstanding TReDS balance has dramatically decreased from ₹345 crores to just ₹17 crores, significantly fortifying the balance sheet and enhancing working capital discipline.

According to the management, the company's liquidity position is on the mend thanks to promoter capital infusion and disciplined financial strategies. With a robust order book valued over ₹4,500 crores, Vishnu Prakash R Punglia Limited remains committed to transparency, prudent financial management, and delivering long-term shareholder value.