Some companies don’t sell products every day.
They earn money project by project.
Think of real estate developers, EPC contractors, infrastructure projects, etc.
So valuing them is very different from valuing a normal operating business.
When we value a project-based company, we usually focus on 3 key things:
1️⃣ Backlogs
Backlogs represent projects already secured but not yet fully recognized as revenue.
This helps us estimate actual future sales volume, instead of guessing.
2️⃣ Historical projects
Past projects tell us a lot:
- Can the team actually deliver?
- Do projects usually finish on time and within budget?
- Are margins consistent or always volatile?
This is about understanding the real capability of the team, not just numbers on paper.
3️⃣ Management plans
Since future value depends heavily on new projects, we need to understand:
- Growth strategy
- Pipeline development
- How funds will be used (new land, new projects, new capacity?)
For project-based companies, valuation is less about smooth revenue curves
and more about visibility, execution, and credibility. #ORNA #BusinessValuation #DCF
ORNA Company Limited 
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