Current Infraprojects Ltd — Q4 FY26 earnings call

Call held 27 May 2026

Management summary

CURRENT Infraprojects Limited reported strong financial performance for FY26, with significant growth in revenue, EBITDA, and PAT, driven by accelerated project execution and strategic diversification. The company's IPO was highly successful, providing capital for working capital and strategic investments. While facing challenges from negative operating cash flow and raw material price escalations, management outlined mitigation strategies and expressed confidence in future growth, supported by a robust order book and pipeline.

Highlights

  • Revenue from operations for FY26 grew by 76% to INR 160 Crores, supported by faster execution across utility infrastructure and EPC projects.

  • Operating EBITDA for FY26 scaled by 58% to INR 23 Crores, with healthy margins at 14.5%.

  • Consolidated PAT grew by 49% to INR 14 Crores, reflecting strong operating leverage and disciplined financial management.

  • Order book reached a record INR 305 Crores as of March 31, 2026, representing a 3-year CAGR of approximately 9% from INR 237 Crores in FY23.

  • The company's IPO was oversubscribed nearly 380 times overall, with Non-Institutional Investors subscribing over 640 times, validating market trust.

Concerns

  • Operating cash flow remained negative in FY26 due to the working capital cycle, including 45-60 day payment terms and stock at site.

  • Raw material price increases due to geopolitical conditions impacted margins, particularly for gas, petrol, and diesel, though mitigated by fixed-rate contracts and price variation clauses for government projects.

Key financials

  1. Revenue from Operations ₹160 Cr +76%YoY
  2. Operating EBITDA ₹23 Cr +58%YoY
  3. EBITDA Margin 14.5%
  4. Consolidated PAT ₹14 Cr +49%YoY

What they filed

₹ Cr · quarterly
Line itemQ2 FY25Q4 FY25Q2 FY26Q4 FY26
Revenue45 46 44 116
EBITDA6 8 8 16
Net profit4 6 4 10
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Segment breakdown

Share of Revenue
₹146.62 Cr Total
  • Solar EPC ₹96 Cr 65.5%
  • Electrical EPC ₹32.72 Cr 22.3%
  • Water EPC ₹15 Cr 10.2%
  • RESCO Power Plants ₹2.9 Cr 2.0%

Order book

high confidence

Total value

₹305 Cr

as of 2026-03-31 quantified

Inflow this quarter

₹100 Cr

Execution

maximum turnover will be captured in this financial year only because these projects are having a duration period of another 12 months.

Composition

Mix 3 segments
  • Electrical Infrastructure and Utilities 56%
  • Solar and Renewable 28%
  • Water Utility and shifting projects 16%

Share of order book by segment

Pipeline

deal pipeline tcv

Active project pipeline of INR 320 Crores, with Electrical Infrastructure and Utilities commanding 54% share, Rajasthan 52% and Kerala 36% geographically.

The order inflow momentum remained particularly strong during the second half of FY26, supported by increased activity in utility infrastructure, distribution strengthening projects, and railway electrification mandates. The company has also bid aggressively for around INR 200 Crore worth of solar tenders plus BESS tenders.

Source: Prepared remarks

Capital allocation

high confidence
  • Liquidity Liquidity disclosed IPO proceeds strengthened the company's liquidity position, enabling participation in larger utility, transmission, railway, and energy infrastructure opportunities.
    With IPO proceeds strengthening our liquidity position, we believe the company is well-positioned to scale sustainably while maintaining healthy return ratios and operational discipline.

Guidance & targets

Revenue

  • Top Line Revenue · FY27 · Medium confidence INR 200-250 crores
    In the top line, what we are expecting is around INR 200 or 250 crores for FY27

    — Chetan Dadhich

Margin

  • Operating Margins Margin · FY27 · Medium confidence almost the same
    and the operating margins will be almost the same.

    — Chetan Dadhich

Order Inflow

  • Solar Orders Order Inflow · coming year · Medium confidence INR 50-80 crores
    we'll execute around to the tune of INR 50 to 80 crores of solar projects in the coming year as well.

    — Devvrath Singh

Project Pipeline

  • RESCO BESS Projects Project Pipeline · current · Medium confidence bidding for 15-16 crore projects
    I mean, the project we are bidding currently for is uh, I mean, 15 to 16 crore

    — Devvrath Singh

What to watch in Q1 FY27

Full Year RESCO Revenue

FY27
Current INR 2.9 Crores (partial FY26)
Target Over INR 6 Crores (full annual levelized revenue)

Why it matters

Verifies the full revenue realization and annuity cash flow generation from the newly commissioned RESCO assets.

So, in the financial year 26-27 you will see the complete revenues in our books.

Risks & concerns

  • Negative operating cash flow

    medium

    Operating cash flow remained negative in FY26 due to typical working capital cycles in contracting, including 45-60 day payment terms and stock at site.

    So, despite reporting healthy growth in revenue and profitability, during FY2026, operating cash flow remained negative. Sir, could management elaborate on key reasons behind the weak cash flow conversion and negative CFO, particularly in terms of receivables, retention money, and working capital movement?

    Analyst acknowledged

  • Raw material price increase due to geopolitical conditions

    medium

    Geopolitical tensions led to increased prices for gas, petrol, and diesel, impacting galvanization, transportation, and labor costs. Mitigation includes fixed-price contracts for older projects and price variation clauses for government projects (expecting 15-25% for Al/Cu, 5-10% for MS).

    The major impact was on the gas, petrol, and diesel. ... for the impact on the increased price, we are looking forward for the price variations from the government on the government projects under which they have the PV clause. So, this is the way how we are moving forward for these kind of situations.

    Both acknowledged

  • Delayed payments from state DISCOMs

    low

    New INR 100 Crores government mandates are RDSS contracts, centrally funded, ensuring payments within seven days of billing, thus mitigating the risk of state DISCOM payment delays.

    If you see the contracts, these are the RDSS contracts and have been funded by the central governments. So, the risk of the delayed payments from the state governments, is not here. And in RDSS, if you will see the payment cycle, we are getting payment within seven days after raising the bills.

    Analyst downplayed

Q&A highlights

8 direct
RESCO revenue variance and full year realization Direct
Actually, the last financial year, 25-26 was the year in which these all four plants were commissioned. ... So, the last year was the partial year of getting revenues from these all four plants. So, in the financial year 26-27 you will see the complete revenues in our books.

Clarifies the timing of revenue recognition for newly commissioned RESCO assets, explaining the discrepancy between reported FY26 revenue and annual levelized revenue.

Asked by Shwesha Sharma

Negative operating cash flow despite revenue growth Direct
in the contracting field, our payment cycle is around 45 to 60 days, and around one to two months' stocks are on the site. So, our working capital requirement also increases due to delay in the payment from the client and huge stock at the site. And all those impact and result in the cash flow in the negative.

Addresses a key financial concern regarding cash flow conversion in the capital-intensive construction sector, attributing it to working capital dynamics.

Asked by Aryan Ajmera

Deployment of IPO proceeds Direct
30 crores will be used in the working capital cycle and 5.85 crores will be used as an investment into subsidiaries. And the remaining amount will be for general corporate purposes. ... So the 30 crores was invested in the working capital cycle and 5.85 crores was invested in the subsidiary to commission a RESCO plant with IIT Dhanbad.

Provides clear details on how the IPO funds were utilized, specifically for working capital and strategic investment in a RESCO plant.

Asked by Sahil Gupta

Execution and risk management for projects in Kerala Direct
One is the electrical utility shifting, second one is the water utility shifting, third one is the highway lighting works, and a small project of toll plaza building construction. ... this is not a challenge for us because we have executed projects on the pan India basis. ... We use ERP to track progress and to purchase the materials and everything.

Explains the types of projects undertaken in a new key geographical market (Kerala) and how the company manages execution risk from a distance using central systems.

Asked by Nidhi Mathur

Revenue backloading in H2 FY26 and potential seasonality Direct
in every construction company, you will see these kind of scenarios. Every work that is under progress needs to be capitalized as of 31st March, to the quantum of work completed. ... The second half will always be better one from the first half.

Clarifies the typical revenue recognition pattern in the construction sector, where H2 tends to be stronger due to year-end capitalization based on milestones.

Asked by Priyanka

Shift in pipeline focus from Solar to Electrical Infrastructure and potential peak of solar growth Direct
we have bidden for a lot of tenders in the solar sector, which are yet to be materialized or yet to be awarded to us. ... we'll execute around to the tune of INR 50 to 80 crores of solar projects in the coming year as well. ... RDSS is a scheme of the Government of India which was recently launched, so we thought that we can go back to this sector within our portfolio and generate good business opportunity.

Explains the strategic rationale behind the current pipeline composition, highlighting continued focus on solar despite a temporary shift and new opportunities in Electrical Infrastructure via RDSS.

Asked by Priyanshu Gupta

Quantification of geopolitical impact on margins and mitigation strategies Direct
The major impact was on the gas, petrol, and diesel. ... for the projects which were awarded before that situation, generally what is our practice is once we get the project, we freeze all procurement and all kind of labor works also. ... for the impact on the increased price, we are looking forward for the price variations from the government on the government projects under which they have the PV clause.

Details the specific raw materials affected by geopolitical tensions and outlines the company's strategies, including fixed-price contracts and price variation clauses, to mitigate margin impact.

Asked by Neha Verma

Confidence in payment cycles for new DISCOM mandates Direct
If you see the contracts, these are the RDSS contracts and have been funded by the central governments. So, the risk of the delayed payments from the state governments, is not here. And in RDSS, if you will see the payment cycle, we are getting payment within seven days after raising the bills.

Addresses concerns about payment delays from state DISCOMs by clarifying that new mandates are centrally funded RDSS contracts with rapid payment cycles.

Asked by Shreya Singh

2 min read 6 chapters

Detailed narrative

FY26 Financial Performance and Growth Drivers

CURRENT Infraprojects Limited delivered robust financial results for FY26, with revenue from operations growing 76% year-on-year to INR 160 Crores. This growth was primarily driven by accelerated execution across utility infrastructure and EPC projects. Operating EBITDA scaled by 58% to INR 23 Crores, maintaining a healthy margin of 14.5%, while consolidated PAT increased by 49% to INR 14 Crores, reflecting strong operating leverage and disciplined financial management.

Record Order Book and Strategic Diversification

The company's order book reached a record INR 305 Crores as of March 31, 2026, demonstrating a 9% CAGR from FY23. New government mandates worth INR 100 Crores were secured from Jaipur and Jodhpur DISCOMs in FY26. The active project pipeline stands at INR 320 Crores, with a strategic shift towards Electrical Infrastructure and Utilities (54% share) while maintaining a robust Solar and Renewable pipeline (28% or INR 88 Crores approx).

Successful IPO and Capital Allocation Strategy

CIPL's IPO was a monumental success, oversubscribed nearly 380 times overall, with Non-Institutional Investors subscribing over 640 times. The proceeds were strategically allocated: INR 30 Crores for strengthening the working capital cycle, INR 5.85 Crores for investment in a subsidiary to commission a RESCO plant with IIT Dhanbad, and the remainder for general corporate purposes. This capital infusion has significantly strengthened the company's liquidity position.

Operational Excellence and Geographical Expansion

The company has transformed into a national, multi-disciplinary EPC platform, focusing on execution velocity, capital efficiency, and sectoral diversification. This includes expanding its engineering base to over 45 certified engineers and developing an in-house NABL-accredited MEC Test House. Geographically, CIPL has expanded beyond Rajasthan, with Kerala emerging as a significant territory (36% of active pipeline), and projects scaling across Karnataka, Maharashtra, and Tamil Nadu.

Renewable Energy Focus and Future Outlook

The newly commissioned RESCO power plants contributed an inaugural INR 2.90 Crores in FY26, with an expected annual levelized revenue exceeding INR 6 Crores for 25 years. The company is actively bidding for INR 15-16 Crores in RESCO BESS projects and anticipates securing INR 50-80 Crores in solar projects in the coming year. Management provided FY27 top-line guidance of INR 200-250 Crores, expecting operating margins to remain similar to FY26's 14.5%.

Mitigating Geopolitical and Payment Risks

Management addressed concerns regarding raw material price increases due to geopolitical tensions, noting impacts on gas, petrol, and diesel. Mitigation strategies include fixed-price contracts for older projects and price variation clauses for government projects (expecting 15-25% for Al/Cu, 5-10% for MS). For new government mandates under the RDSS scheme, central funding ensures payments within seven days, effectively mitigating the risk of delayed payments from state DISCOMs.

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