Key Financial Performance Figures
Q2 FY27 Performance (Quarter Ended September 30, 2026):
- Revenue from Operations: ₹771 crore (up 19% YoY)
- EBITDA: ₹119 crore (up 10% YoY)
- EBITDA Margin: 15.5%
- Profit After Tax (PAT): ₹48 crore (compared to ₹51 crore in Q2 FY26)
- PAT Margin: 6.1%
H1 FY27 Performance (Half Year Ended September 30, 2026):
- Revenue from Operations: ₹1,400 crore (up 13% YoY)
- EBITDA: ₹218 crore (up 4% YoY)
- EBITDA Margin: 15.6%
- PAT: ₹87 crore (compared to ₹98 crore in H1 FY26)
- PAT Margin: 6.2%
Operational and Strategic Updates
Order Book & Inflows:
- Order book as of September 30, 2026: ₹13,013 crore
- Order mix: 54% public sector, 46% private sector
- New orders secured in FY27 year-to-date: ₹2,487 crore
- Active bid negotiations ongoing for ₹3,270 crore
Project Execution & Client Updates:
- Achieved highest-ever quarterly revenue driven by execution ramp-up across key sites
- Added Mahindra Lifespace Developers Limited as a new client
- Improved working capital efficiency, reducing working capital cycle by 11 days compared to Q1 FY27
Project-wise Revenue Contribution (H1 FY27):
- CIDCO: ₹178 crore
- MHADA: ₹123 crore
- Leisure Valley: ₹95 crore
- Raymonds: ₹100 crore
- Downtown: ₹111 crore
- M3M: ₹60 crore
- Godrej Mahalakshmi: ₹50 crore
- IOCL Andheri: ₹40 crore
- MCGM Bhandup: ₹63 crore (consolidated)
- Maldives Project: ₹169 crore (consolidated)
Commodity Price Impact & Provisions:
- Elevated commodity prices (steel, aluminum, electrical items) continued to exert margin pressure
- Impact mitigated through contractual escalation clauses in projects
- No additional provisions made in Q2 FY27 (following ₹20 crore provision in previous quarters)
- Potential for provision reversal in future quarters if commodity prices stabilize
Capital Expenditure:
- H1 FY27 Formwork purchase: ₹64.2 crore
- H1 FY27 Plant and machinery purchase: ₹10.57 crore
- Full-year FY27 formwork procurement budget: ₹135-140 crore
- Fixed asset revenue turnover ratio: 4.7% (quarter ending September 30, 2026)
Management Guidance and Outlook
Revenue Guidance:
- FY27: ₹4,500 crore (already achieved ~₹2,500 crore in H1)
- FY28: ₹4,000 crore (unchanged)
Margin Guidance:
- EBITDA Margin: 15.5%-16.5% for FY27
- Cash PAT Margin: 10.5%-11.25% for FY27
Project-specific Outlook:
- MHADA: Expect 25% revenue increase in remainder of FY27; 40%+ growth expected in FY28
- CIDCO: Expect 35-40% run rate increase in Q3/Q4 FY27; ₹50 crore/month run rate expected in FY28 (₹150 crore/quarter, ₹600 crore/year)
- Signature Global: Currently ~₹15 crore/month; expected to reach ₹18-19 crore/month from Q4 FY27 (excluding NGT impact)
- Mahindra Lifespace: Revenue recognition expected to start from Q1 FY28 (possibly Q4 FY27)
- NBCC: Current run rate of ₹60 crore/month; potential for ₹65-70 crore/month absent NGT issues
- IIT Bombay: Only ₹70 crore frontage handed over against ₹550 crore project; full frontage expected by March 31, 2027
Other Strategic Updates:
- Company divided into 4 Business Units with dedicated CEOs to improve execution efficiency
- Promoter pledge reduction: Reduced by ₹35 lakh shares in FY27; only 50 lakh shares remain pledged for company limits with State Bank of India
- Target to eliminate all promoter pledge by March 31, 2027
- Debt expected to remain at current levels with net debt reduction anticipated by March 31, 2027
Risk Factors and Challenges
NGT Impact:
- Potential revenue loss of ₹45-50 crore in Q3/Q4 FY27 due to NGT restrictions in Delhi NCR region
- Complete construction ban in NCR from November 5-20, 2026 (15 days already impacted)
- Uncertainty about total duration of NGT restrictions
Commodity Price Volatility:
- Steel prices increased from ₹47,000 to ₹62,000 per metric ton
- Aluminum formwork increased from ₹10,500 to ₹14,500 per square meter (40% increase)
- Government price variation indices lagging actual market inflation
Labor Availability:
- Potential impact from UP elections in Q4 FY27
- Previous impact from Bengal elections in Q1 FY27
Balance Sheet and Working Capital
Receivables Position:
- Contract assets: ₹279 crore (non-current) + ₹1,179 crore (current) = ₹1,458 crore gross
- Negative contract assets: ₹217.62 crore
- Net contract assets: ₹1,240.38 crore
- Retention money: ₹170 crore (steady despite revenue growth)
- Trade receivables: ₹1,182 crore (after ECL provisioning)
- Total net receivables: ~₹2,400 crore (77-78% of projected FY27 revenue)
- Working capital days reduced by 11 days quarter-on-quarter
Recovery of Old Debtors:
- Properties held for sale: ₹48 crore (target for H2 FY27 recovery)
- H1 FY27 recovery: ₹5-6 crore physical cash flow
- Total expected recovery: ₹52-54 crore by FY27 year-end
- Cumulative recovery achieved: ~₹200 crore out of ₹350 crore originally stuck