Cemindia Projects Limited

Cemindia Projects Limited reported a robust Q3 FY26 with total operating income at INR2,315 crores, a modest 2% increase YoY from INR2,270 crores. Profitability saw significant improvement, with EBITDA growing 13% YoY to INR245 crores, achieving a 10.6% margin. PAT surged 27% YoY to INR111 crores from INR87 crores. For the nine months ending December 31, 2025, operating income reached INR7,087 crores (up 6% YoY), EBITDA INR749 crores (up 12% YoY) with a 10.6% margin, and PAT INR356 crores (up 37% YoY).

The company's total pending order book stands at INR21,800 crores. During the nine months ending December 31, 2025, Cemindia secured orders worth INR9,725 crores, with an additional INR2,000 crores secured post-December 2025, bringing the current year's total order inflow to INR11,700 crores. Management indicated a strong bidding pipeline of INR20,000-40,000 crores, with immediate opportunities for INR10,000-12,000 crores, and expects 20-25% of order inflows to come from group entities.

Revenue growth was tempered by delays in key projects, notably the Vadhavan Port job (INR1,600 crores in the order book), which saw minimal progress due to local issues. Management estimated that without these delays, revenue could have been 18-20% higher. Additionally, some government tenders and group jobs experienced delays, impacting the achievement of the FY26 order inflow target of INR14,000-15,000 crores.

Cemindia successfully completed several significant projects in the past year, including Mumbai Metro, the new High Court building in West Bengal, Vizhinjam Port, Udangudi Port, and Kolkata Metro. The company is actively pursuing new challenging jobs like Project Varsha, Pune Metro, and projects in Dahej, Petronet, and Ruwais (Abu Dhabi), with Q4 FY26 results expected to be better than Q3.

Cemindia is actively developing its capabilities in the data center segment, particularly with Adani's large-scale plans. The company has already commenced work on two data center buildings in Mumbai, with foundation work completed and precasting half done. Management estimates it can handle approximately 500 megawatts of data center capacity annually with its current resources, with projects typically having 20% revenue in the first year and 80% in the second.

The company maintains a conservative financial position with a net debt to equity ratio of 0.26x and gross debt of INR920 crores as of December 2025. Capex for FY26 is projected at around INR300 crores, which is 10-15% more than the previous year, with INR200 crores already spent in the first nine months, primarily for material and general plant procurement.

Management clarified that a change in accounting representation for jointly controlled operations led to a grossing up of net line items, resulting in marginal differences in historical numbers. This change was a one-time^📎 exercise, benchmarked with industry practices, and did not impact the reported profit number or the overall P&L.