NCC Ltd Q4 FY25 Earnings Analysis
Published 17 Aug 2026 | Construction | Market Cap: ₹9.0K Cr
Price
₹141
Market Cap
₹9.0K Cr
P/E Ratio
12.9
Earnings Summary
FY '26 revenue growth guidance is 10%, up from 5% growth in FY '25. NCC Limited expects revenue growth of 10% for FY '26, an improvement from the 5% growth in FY '25.
📊 Revenue & Sales Performance
- FY '26 revenue growth guidance is 10%, up from 5% growth in FY '25.
- Order inflow guidance for FY '26 is robust at INR 22,000 to 25,000 crores.
- Healthy project pipeline with a prospective pipeline of about INR 2.55 lakh crores.
- Expect stronger growth in FY '27 due to ramp-up of projects like GMLR and AP state capital orders.
- Execution expected to improve in the second half of FY '26 as recently awarded projects mobilize.
- Growth constrained by client payment timelines and project mobilization delays.
- Focus on bottom-line improvement, while EBITDA margin expected to be around 9% to 9.25% in FY '26.
- Order execution ratio to order book currently low but expected to improve gradually.
Overall, NCC anticipates steady revenue growth supported by a strong order book and ongoing project ramp-ups.
📈 Profitability & Margins
- →NCC Limited expects revenue growth of 10% for FY '26, an improvement from the 5% growth in FY '25.
- →EBITDA margin guidance is between 9% to 9.25% for FY '26.
- →Management is hopeful for bottom-line growth (PAT) improvement going forward, although EBITDA margin improvement depends on the project mix (less machinery-heavy projects currently).
- →Predicting exact margins or earnings for FY '27 is considered difficult currently; the company will provide more clarity when finalizing FY '27 budgets.
- →The order inflow guidance for FY '26 is robust at INR22,000 to INR25,000 crores, indicating potential support for future revenue and profit growth.
- →Earnings per share (EPS) for Q4 FY '25 stood at INR12.10, up from INR10.10 in the previous year, showing positive earnings momentum.
🏗️ Capital Expenditure Plans
- →Capex for FY '26 is planned at INR 750 crores (stand-alone basis).
- →In FY '25, capex incurred was INR 305 crores, including investment in TBM for Mumbai tunneling (around INR 300 crores).
- →Total strategic investment of INR 280 crores planned for smart meter projects in FY '26 and FY '27.
- →Approximately INR 130 crores of this smart meter investment expected by Q2 FY '26; the balance depends on progress and financial closures.
- →Currently, smart meter investment is entirely funded by NCC Limited, with ongoing search for partners.
- →Additional investments include a new LLP for producing specialized concrete girders.
- →Investment in subsidiaries increased to INR 1,065 crores and loans to subsidiaries are INR 452 crores as of March '25.
- →Impairment made on Oman subsidiary due to non-realization risk.
💰 Fundraising & Capital Structure
- NCC Limited expects debt to rise by about INR 200 crores to INR 300 crores every year in the coming years, depending on mobilization advance terms in tender documents.
- Gross debt on a standalone level as of now is INR 1,484 crores.
- The company plans to take steps to reduce finance expenses, such as arranging commercial papers (CPs), using trade finance, and purchase invoice discounting.
- Regarding equity, there is no explicit mention of new equity fundraising in the provided transcript.
- Investments planned include INR 280 crores in smart meter projects over FY '26 and FY '27, with INR 130 crores expected by Q2 FY '26, currently funded by NCCL but the company is scouting for partners.
- Impairments and additional investments in subsidiaries, such as smart meters and specialized concrete girders LLP, indicate ongoing capital allocation but no direct equity raise stated.
No explicit new fundraising through equity or large new debt issuance beyond the stated incremental debt is mentioned.
📋 Order Book & Pipeline
- Order book as of March 31, 2025: INR 71,568 crores (highest ever for NCC).
- Beginning of FY '25 order book: INR 60,437 crores.
- Orders received during FY '25: INR 32,888 crores (highest single-year order inflow).
- Orders executed in FY '25: INR 21,756 crores.
- Stand-alone order inflow FY '25: INR 29,588 crores.
- L1 (likely to convert) orders currently about INR 7,000 to 8,000 crores.
- BSNL Phase 2 order: total INR 10,800 crores; INR 7,100 crores included in order book.
- Andhra Pradesh capital city projects order on hand: around INR 9,000 to 9,500 crores.
- Future order inflow guidance FY '26: INR 22,000 to 25,000 crores (includes L1).
- Projects have a gestation period; execution dependent on client payments and clearances.
- Smart meter project investments ongoing; some pending financial closure.
Overall, NCC holds a robust order book with healthy inflows and pending L1 orders expected to convert.
Key Metrics
Frequently Asked Questions
What were NCC Ltd Q4 FY25 results?
FY '26 revenue growth guidance is 10%, up from 5% growth in FY '25. NCC Limited expects revenue growth of 10% for FY '26, an improvement from the 5% growth in FY '25.
What is NCC Ltd share price analysis?
NCC Ltd currently shows a neutral. The stock trades at a P/E of 12.9 with a market cap of ₹9,014 Cr. Investors should review the full earnings analysis for detailed insights.
Is NCC Ltd planning capital expenditure?
Capex for FY '26 is planned at INR 750 crores (stand-alone basis).
This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.