Pre-engineered building industry will see 10-12% revenue growth
PEB structures have emerged as the preferred choice for industrial and infrastructure buildings given the time and cost benefits they offer: Report
New Delhi: Backed by strong demand because of industrial capital expenditure (capex) and government spending on infrastructure development, pre-engineered building (PEB) manufacturers in the country are likely to see revenue growth of 10-12 per cent in FY25 as well as next fiscal, a report showed on Wednesday.
According to a Crisil Ratings report, PEB structures have emerged as the preferred choice for industrial and infrastructure buildings given the time and cost benefits they offer.
Diverse applications across sectors such as airports (hangars, terminal buildings), roads (toll plazas) and railways (yards, parts of stations) etc. will drive broad-based demand for PEB structures as increasing government outlay in infrastructure is expected to support demand.
Installation of these structures typically takes 40-50 per cent less time compared with conventional structures with significant cost savings owing to reduced steel and labour requirements.
The report mentioned that this is fuelling demand for PEB structures, along with additional benefits such as modular design and high recyclability of materials used.
According to Anand Kulkarni, Director, CRISIL Ratings, industrial capex, which accounts for around 50 per cent of the PEB demand, is expected to remain healthy over the next two fiscal years.