Ceigall India reported a strong Q3 FY26, driven by robust execution and significant order inflows across diversified segments including highways, renewables, and railways. The company's order book reached ₹13,295 crores, providing multi-year revenue visibility. Management highlighted a focus on balance sheet optimization, with standalone debt reduction and planned asset divestments to fund future equity requirements in HAM and solar projects. The outlook remains bullish, with targets for continued growth and international expansion.
vs Q4 FY26
Notable Quotes from the Call
Most Confident Moment
We believe we are well-placed to capture upcoming opportunities and drive sustainable growth. ...equity availability is not a problem or not a challenge for Ceigall.
Least Confident Moment
We should target at least 10 to 15% coming from international. And we are still setting up the things there, so it might take time.
| Metric | Value | YoY |
|---|---|---|
| Standalone Revenue | ₹970 Cr | +19.7% YoY |
| 9M Standalone Revenue | ₹2.6K Cr | +7.6% YoY |
| Standalone EBITDA Margin | 12.3% | — |
| Standalone PAT | ₹75 Cr | — |
| Consolidated Revenue | ₹991 Cr | +19.3% YoY |
| 9M Consolidated Revenue | ₹2.6K Cr | +8.7% YoY |
| Metric | Latest | Trend |
|---|---|---|
| Standalone EBITDA Margin | 12.3% | |
| Standalone PAT(million) | 75 | |
| Consolidated EBITDA Margin | 14.1% | |
| Consolidated PAT(million) | 56.2 | |
| Consolidated Revenue(crores) | 991 |
| Category | Target | Priority |
|---|---|---|
| Revenue | Revenue Growth→10-15% | High |
| Order Inflow | Annual Order Inflow→~₹5,800 crores | High |
| Order Inflow | International Order Inflow Share→10-15% | Medium |
| Equity Requirement | Equity for Indore-Ujjain HAM→₹145 crores | High |
| Equity Requirement | Equity for Sahebganj HAM→~₹250 crores | Medium |
| Equity Requirement | Equity for Morena Solar Park→₹750-800 crores | High |
| Capex | Annual Capex→₹25-30 crores | High |
| Asset Divestment | Malout-Abohar HAM Divestment→by March 31 | High |
| Asset Divestment | Bathinda-Dabwali & Jalbehra-Shahbad Divestment→by September 30 | High |
| Project Timelines | Appointed Dates for VRK 12 & Southern Ludhiana HAM→before March 31 | High |
| Severity | Risk |
|---|---|
medium | Project delays due to external factors (ROW, weather) Jalbehra project faced ROW and flood issues, leading to EOT and uncertainty on early completion bonus. Management |
medium | PPA signing delays for solar projects Equity infusion and execution for solar projects are contingent on Power Purchase Agreement (PPA) signing, which is still pending for some projects. Management |
low | Time required for international market setup and order capture While targeting 10-15% international order inflow, management noted that 'it might take time' to set up operations and secure orders. Management |
Areas of Evasion(2)
Ceigall India delivered a robust Q3 FY26, with standalone revenue from operations growing 19.7% YoY to ₹970 crores. For the nine-month period, consolidated revenue increased 8.7% YoY to ₹2,636 crores. The company secured approximately ₹1,403 crores in order inflow during Q3 FY26, boosting its total order book to a significant ₹13,295 crores, providing strong revenue visibility for the coming years. Consolidated EBITDA for the nine months stood at ₹362 crores, with a healthy margin of 13.7%.
The company continues its strategic diversification beyond roads and highways, with new orders in renewables, transmission, distribution, and railways. Key wins include a ₹1,089 crore HAM highway project (Indore-Ujjain), a ₹423 crore renewables order (130 MW), and L1 bidder status for a ₹2,160 crore HAM project in Bihar and a ₹918 crore Jaipur Rail Corporation project. Renewables now account for cumulative orders of ₹3,168 crores, and industrial infrastructure (including urban) contributes ₹622 crores, showcasing a balanced portfolio.
Ceigall is actively optimizing its balance sheet, with standalone debt reducing to ₹552 crores as of December 2025 from ₹636 crores in March 2025. The Board has approved the 100% divestment of the Malout-Abohar-Sadhuwali HAM asset, targeting completion by March 31, 2026. This capital recycling strategy aims to unlock funds for redeployment into core EPC business and new growth segments, with management stating that equity availability is not a challenge.
The company has infused ₹605.6 crores of equity in its eight HAM projects under execution. For new HAM projects, an estimated ₹145 crores is required for Indore-Ujjain and ~₹250 crores for Sahebganj. Solar projects, such as the Morena Solar Park, will require ₹750-800 crores in equity, with only 20% needed upfront. Management expects appointed dates for VRK 12 and Southern Ludhiana HAM projects by March 31, 2026, with execution for solar projects commencing post-PPA signing.
Management reiterated its guidance for 10-15% revenue growth for both FY26 and FY27. For FY27, the company targets an order inflow of approximately ₹5,800 crores, an increase from the ₹8,500 crores achieved against a ₹5,000 crore target in the previous year. Ceigall is also exploring international opportunities in Southeast Asia and the Middle East, targeting 10-15% of total order inflow from these markets, primarily focusing on EPC projects with minimal equity requirements.
The company continues to focus on operational efficiency, with seven projects completed ahead of schedule, earning early bonuses. Technology adoption, including AI and data-driven tools, is being deployed across bidding and project monitoring to enhance efficiency, strengthen controls, and improve overall execution quality. Capex remains low, projected at ₹25-30 crores for FY26 and FY27, primarily from subsidiaries, as the company utilizes a buyback and sell-off policy for assets.