Detailed Narrative
Q4 FY26 Financial Performance and Full-Year Trends
NCC reported a 1% YoY increase in consolidated turnover for Q4 FY26, reaching INR6,251 crores, but the full-year FY26 consolidated turnover saw a 6% decline to INR20,944 crores. Standalone turnover also decreased by 1% in Q4 FY26 to INR5,382 crores and by 9% for the full year to INR17,669 crores. Consolidated EBITDA margin for Q4 FY26 was 8.83%, a slight compression from 9.07% in Q4 FY25, while standalone EBITDA margin was 8.44% compared to 9.21% in the prior year. Standalone EPS for FY26 was INR9.19, down from INR12.12 in FY25.
Record Order Book and Strong Inflows
The company achieved a historic high consolidated order book of INR83,004 crores as of March 31, 2026, marking a 16% increase over the previous year. Fresh consolidated order inflows for Q4 FY26 amounted to INR9,573 crores, contributing to a total of INR31,884 crores for the full year. This robust order book provides multiyear revenue visibility and a book-to-bill ratio of approximately 4x, diversified across seven key verticals including buildings, transportation, and mining. Management confirmed all orders are cleared for execution without holdups.
Debt Reduction and Working Capital Management
NCC successfully reduced its net debt by INR729 crores in Q4 FY26, bringing the net debt down to INR1,667 crores from INR2,830 crores at the beginning of the quarter. This led to an improved debt-to-equity ratio of 0.30x at the end of Q4 FY26. Trade receivables outstanding decreased from INR3,505 crores to INR3,336 crores, with days outstanding improving from 87 to 73. Working capital, excluding cash and margin money, stood at INR4,847 crores (28% of turnover), with working capital days at 97.
Capex and Project-Specific Investments
Total capex incurred in FY26 was INR912 crores, against a revised budget of INR1,050 crores, including INR320 crores for the TBM project and INR150-160 crores for new mining machinery. For FY27, a capex plan of INR500 crores is projected, with INR100-150 crores allocated for mining and INR350-400 crores for regular capex, refurbishment, and equipment replenishment. The TBM machine is expected to start working in the next two months, with depreciation commencing from Q3 FY27.
Uncertainty Leads to Withholding FY27 Guidance
Management explicitly stated they would not provide financial guidance for FY27 due to significant market uncertainties, including commodity price fluctuations, payment issues, and global economic conditions. They emphasized the presence of too many variables in the current environment and committed to revisiting the decision after the conclusion of Q1 FY27, once more clarity emerges. This cautious stance was reiterated despite analyst pressure for forward-looking statements.
JJM and Smart Meter Project Progress
The overall order book for Jal Jeevan Mission (JJM) projects stands at INR26,000 crores, with INR6,181 crores pending as of March 31, 2026. For UP projects, INR1,000 crores was collected in Q4, with an additional INR400-450 crores in April, indicating an improvement in payment cycles. In smart meter projects, NCC has fully invested INR460 crores in SPVs and INR130-140 crores as working capital for its own project, confirming the investments are complete.
Mining Operations and Outlook
The company clarified its mining operations, distinguishing between an existing MDO project generating over INR2,000 crores in revenue at 15 MTPA capacity, which is fully operational. A newly bagged INR6,000 crores mining project is also in the pipeline, for which future capex is planned. Management expects the existing mining operations to maintain similar revenue and profitability levels in the coming fiscal years, contributing to the standalone entity.