Adani's ₹2.1 Lakh Crore Capex Boom: Which Stocks Could Win?

Adani Group's investment cycle is becoming large enough to affect companies well beyond the conglomerate itself.

The group spent around ₹1.53 lakh crore on capital expenditure in FY26, the highest annual outlay by an Indian corporate, according to the report. Around 80% of that spending was routed through vendors, creating a sizeable secondary opportunity for engineering, construction, power-equipment and technology companies.

The spending is not slowing down.

Adani is targeting roughly ₹2.1 lakh crore of capex in FY27 and has mapped investments of nearly $125 billion over five years across its businesses.

That changes the investment story.

The question is no longer only how Adani companies will benefit from this spending. It is also about which suppliers and engineering companies can capture a slice of the enormous order pipeline.

Adani's Capex Is Becoming an Ecosystem Story

Large infrastructure projects rarely benefit only the company building them.

Ports require construction contractors. Power transmission projects need transformers and grid technology. New power plants require boilers, turbines and generators. Airports, roads, tunnels and large real-estate developments create demand for specialist engineering and construction companies.

Adani's strategy appears to be increasingly structured around this ecosystem.

The group is looking to rely more heavily on external companies for large-scale deployment and, according to the report, is beginning to view some suppliers as strategic partners rather than conventional vendors.

For the stock market, that distinction matters.

If Adani's investment programme continues at the planned scale, companies with established technical capabilities and access to this project pipeline could see their order books expand substantially.

But bigger order books do not automatically mean better businesses. The crucial question is whether those orders translate into revenue, EBITDA, cash flow and attractive returns on capital.

PSP Projects Shows Both the Opportunity and the Risk

PSP Projects is perhaps the clearest example of how Adani's capex strategy can transform a supplier's order pipeline.

After Adani acquired a 34.41% stake in the construction company, PSP's order book jumped 85% to ₹13,447 crore in FY26, from ₹7,266 crore a year earlier.

More strikingly, Adani-linked projects accounted for around ₹9,009 crore, or 67% of the order book, compared with just ₹1,817 crore a year earlier.

New orders more than tripled to ₹10,925 crore, while revenue increased 25% to ₹3,149 crore.

But there is an important catch.

PSP's EBITDA rose only marginally to ₹180 crore from ₹178 crore. Its return on capital employed fell to 7%, compared with 10% in FY25 and 24% in FY23. The working-capital cycle also stretched to 96 days, from 65 days in FY25.

This is an important lesson for investors.

An order-book boom is not the same thing as a profit boom.

A company can win enormous contracts and still struggle to generate attractive returns if execution requires too much working capital or margins remain under pressure.

Cemindia Offers a Stronger Profitability Picture

Cemindia Projects presents a different side of the same story.

The company, formerly ITD Cementation, has become part of the Adani ecosystem after Renew Exim, an Adani promoter entity, acquired a 67.46% controlling stake.

Its FY26 order book increased 34% to ₹24,545 crore, compared with ₹18,300 crore in FY25.

New orders more than doubled to ₹14,821 crore.

Revenue increased to ₹10,061 crore from ₹9,097 crore, while EBITDA climbed 30% to ₹1,199 crore.

More importantly, return on capital employed improved to 34%, from 28% in FY25 and around 19% in FY23.

That combination—higher orders, higher revenue, higher EBITDA and improving capital efficiency—is far more powerful than order-book growth alone.

It also demonstrates why investors need to look beyond the headline capex number and examine how individual beneficiaries convert opportunity into financial performance.

Power Transmission Could Become an Even Bigger Opportunity

Adani's expansion is not limited to construction.

Power generation, transmission and grid infrastructure are becoming major components of the investment cycle, particularly as India needs significantly more electricity to support industrialisation, data centres, manufacturing and urbanisation.

Adani Energy Solutions raised ₹8,373 crore through a QIP in FY25 and subsequently accessed additional financing, including reported green financing of $750 million for the Bhadla-Fatehpur HVDC corridor and $500 million through Apollo-backed senior secured notes.

The company also approved a fresh institutional fundraising of up to ₹10,000 crore for FY27, of which ₹3,500 crore was raised through a QIP in July 2026.

For suppliers, this matters because funded projects provide greater visibility over future orders.

Hitachi Energy India Is Already Seeing the Impact

The Bhadla-Fatehpur transmission project illustrates how Adani's spending can flow into listed engineering companies.

Hitachi Energy India received ₹18,457 crore of new orders in FY26.

Its total order book reached ₹29,555 crore, compared with ₹19,246 crore a year earlier and only ₹7,071 crore in FY23.

That is more than a fourfold increase in three years.

Revenue also rose 28% to ₹8,148 crore, while EBITDA more than doubled to ₹1,253 crore.

This is the kind of operating leverage the market is looking for: a rapidly expanding order pipeline accompanied by meaningful improvement in earnings.

BHEL Has Another Major Tailwind

Bharat Heavy Electricals, or BHEL, is another potential beneficiary of the power-investment cycle.

Adani Group-related revenue contributed approximately ₹6,673 crore, equivalent to nearly one-fifth of BHEL's FY26 sales.

At the overall company level, BHEL's order book increased to ₹2.39 lakh crore, from ₹1.96 lakh crore in FY25.

EBITDA rose 83% to ₹3,189 crore.

The potential pipeline could become even larger if Adani Power proceeds with its planned expansion of generation capacity to as much as 45 GW by FY32, backed by a capex programme exceeding ₹2 lakh crore.

That could create demand for boilers, turbines, generators and emission-control equipment.

However, these are future opportunities rather than guaranteed revenue. Actual benefits will depend on project awards, execution schedules and competitive procurement.

GE Vernova T&D India Is Another Listed Proxy

The ecosystem extends beyond companies in which Adani has taken an equity stake.

GE Vernova T&D India received an Adani Energy Solutions order related to the Khavda-South Olpad VSC-HVDC project.

The company recorded ₹14,776 crore of order inflow in FY26, with brokerage estimates suggesting that Adani Energy Solutions-linked contracts accounted for approximately ₹8,000–10,000 crore.

This illustrates an important characteristic of the Adani capex story.

Investors do not necessarily need to own an Adani company to gain exposure to the group's investment cycle. Engineering companies supplying equipment and executing projects can also participate.

The Real Investment Question Is Not Order Book—It's Conversion

This is where the story becomes more interesting for Dalal Street.

A ₹125 billion investment programme sounds enormous, but investors cannot value companies simply by dividing that number across suppliers.

The actual economic benefit depends on several variables:

• Order Conversion

How much of the announced capex eventually becomes firm contracts?

• Margins

Can suppliers execute these projects without sacrificing profitability?

• Working Capital

How much cash gets locked into receivables and project execution?

• Customer Concentration

What happens if one supplier becomes excessively dependent on Adani-related orders?

• Return on Capital

Does the additional revenue generate returns that justify the capital invested?

PSP Projects demonstrates the danger clearly. Its order book surged, but its ROCE declined and working-capital requirements increased.

Cemindia and Hitachi Energy, meanwhile, show what a more attractive outcome can look like when earnings and capital efficiency improve alongside orders.

Adani's Supplier Strategy Could Create Long-Term Winners

The broader strategy resembles an extended industrial ecosystem.

Adani controls capital deployment and large project pipelines while specialist companies provide engineering, manufacturing and technology capabilities.

For Adani, this avoids having to build every capability internally.

For suppliers, it creates access to a large and potentially recurring project pipeline.

The relationship can become mutually reinforcing: larger projects create more supplier capacity, greater supplier capacity enables faster project execution, and successful execution can generate further orders.

But the model only works if suppliers maintain financial discipline while scaling.

The Bigger Picture

India is entering a capital-intensive phase of economic growth.

Power generation, transmission, ports, airports, roads, data centres, manufacturing facilities and urban infrastructure all require enormous investment.

Adani's capex programme is therefore part of a much larger industrial cycle.

The interesting part for investors is that infrastructure booms rarely create winners only among the headline project owners. The second-order beneficiaries—the companies supplying cables, transformers, construction services, heavy equipment and specialised technology—can sometimes experience an even sharper change in their order books.

But the market will eventually separate companies with genuine earnings growth from those with only large order announcements.

The Bottom Line

Adani Group's planned ₹2.1 lakh crore FY27 capex and nearly $125 billion five-year investment pipeline are creating a substantial opportunity for companies across construction, power equipment, transmission and engineering. The numbers from PSP Projects, Cemindia, Hitachi Energy India and BHEL show how the spending is already flowing through the wider industrial ecosystem.

But there is an important distinction between being an Adani supplier and being a successful Adani-capex beneficiary.

The real winners will be companies that can turn new orders into revenue, revenue into EBITDA and EBITDA into cash—without allowing working capital, customer concentration or excessive capital requirements to destroy shareholder returns.

That is the part of the Adani capex story Dalal Street will ultimately care about.