IRCON International Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript IRCON International Ltd filed with BSE on 26 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Ircon reported total revenue of Rs. 9,502 crores for FY26, down from Rs. 11,131 crores in FY25, while PAT was Rs. 592 crores against Rs. 724 crores previous year. EBITDA remained roughly flat at Rs. 1,279 crores versus Rs. 1,276 crores in FY25, with core EBITDA margin improving to 9.35%. Management said the order book stood at Rs. 24,984 crores, about 2X of annual revenue, with 54% on competitive bidding and 46% on nomination basis.
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Numbers mentioned
Total revenue: Rs. 9,502 crores (FY26)
p. 4
“The company has reported total revenue of Rs. 9,502 crores in FY26 against Rs.11,131 crores previous year.”
Ragini Advani, page 4 of the filed PDF · View the filing
PAT: Rs. 592 crores (FY26)
p. 4
“PAT of the company stood at Rs.592 crores against Rs.724 crores previous year.”
Ragini Advani, page 4 of the filed PDF · View the filing
EBITDA: Rs. 1,279 crores (FY26)
p. 4
“EBITDA margins remained in similar range, about Rs.1,279 crores in FY26 as against Rs.1,276 crores in FY25.”
Ragini Advani, page 4 of the filed PDF · View the filing
Core EBITDA margin: 9.35% (FY26)
p. 4
“Core EBITDA margins in percentage terms have increased to 9.35% in FY26, an improvement of about 94 bps over the last year.”
Ragini Advani, page 4 of the filed PDF · View the filing
Earnings per share: Rs. 6.33 (FY26)
p. 4
“Earnings per share stands at Rs.6.33 per equity share in FY26 as against Rs.7.73 per equity share in FY25.”
Ragini Advani, page 4 of the filed PDF · View the filing
Order book: Rs. 24,984 crores (as at 31 March 2026)
p. 4
“Order book of the company as at 31 March 2016 stood at Rs.24,984 crores, wherein 54% orders were on competitive bidding basis and the balance 46% were on nomination basis.”
Ragini Advani, page 4 of the filed PDF · View the filing
Final dividend: Rs.70 paisa per equity share (FY26)
p. 4
“Board of Directors have also recommended a final dividend of Rs.70 paisa per equity share on the face value of Rs.2 per share, subject to the approval of the shareholders in the ensuing Annual General Meeting.”
Ragini Advani, page 4 of the filed PDF · View the filing
Own cash: Rs.950 crores
p. 8
“Our own cash is about Rs.950 crores.”
Ragini Advani, page 8 of the filed PDF · View the filing
Working capital demand loan: Rs. 103 crores (as at 31 March 2026)
p. 12
“we have taken a working capital demand loan this time of Rs. 103 crores as at 31st March 2026”
Ragini Advani, page 12 of the filed PDF · View the filing
Orders secured in FY26: around Rs.5,000 crores (FY26)
p. 6
“During ‘25-26, we could secure orders of the order of around Rs.5,000 crores and we bided for 107.”
Hari Mohan Gupta, page 6 of the filed PDF · View the filing
Bid success ratio: around 10% (2025-2026)
p. 11
“And in 2025-2026, we got around 10% of what we bided.”
Hari Mohan Gupta, page 11 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue — similar levels as FY26 · FY27
stated conditionally by Ragini Advani
p. 9
“But as of now, the guidance would be similar levels as FY26.”
Ragini Advani, page 9 of the filed PDF · View the filing
Capex/investment in SPVs — Rs.400 crores · FY26-27
stated firmly by Hari Mohan Gupta
p. 8
“Around Rs.400 crores, we will be investing in FY26-27 on our SPV projects, mainly to road projects, then coal connectivity railway projects.”
Hari Mohan Gupta, page 8 of the filed PDF · View the filing
Total investment requirement for SPVs — Rs.700 to Rs.800 crores · FY27
stated conditionally by Ragini Advani
p. 9
“The total requirement we anticipate is about Rs.700 to Rs.800 crores.”
Ragini Advani, page 9 of the filed PDF · View the filing
Routine capex within the company — Rs. 50 to Rs. 60 crores · FY27
stated conditionally by Ragini Advani
p. 9
“This we expect to be in the nature of about Rs. 50 to Rs. 60 crores.”
Ragini Advani, page 9 of the filed PDF · View the filing
Core EBITDA margin (standalone) — 4.0 to 4.2 percent
stated conditionally by Ragini Advani
p. 10
“So, at core EBITDA levels, we expect it to be in the range of about 4.0 to 4.2 percent.”
Ragini Advani, page 10 of the filed PDF · View the filing
PAT margin (consolidated) — 6.1 to 6.3 percent
stated conditionally by Ragini Advani
p. 10
“I think we would be able to maintain PAT at console level in the range of about 6.1 to 6.3 percent.”
Ragini Advani, page 10 of the filed PDF · View the filing
JV profit share — about 70 to 80 crores
stated conditionally by Ragini Advani
p. 13
“So, overall, the share of JV profit going forward, because we will not have ISTPL also next year, should be in similar ranges, about 70 to 80 crores.”
Ragini Advani, page 13 of the filed PDF · View the filing
CERL breakeven — break even · next two years
stated as an aspiration by Ragini Advani
p. 13
“We expect it to break even in the next two years.”
Ragini Advani, page 13 of the filed PDF · View the filing
Core EBITDA margin (consolidated) — levels of 9%
stated conditionally by Ragini Advani
p. 16
“that is where we are drawing up or I would say equalizing this negative to some extent and coming at the levels of 9% at core EBITDA level.”
Ragini Advani, page 16 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said the tendering process for the new DFC is yet to start and Ircon will bid once tenders are floated, citing prior DFC execution experience.
Answered by Hari Mohan Gupta
Asked by Balasubramanian: Have you bid for the new dedicated freight corridor and Gati Shakti Cargo Terminals, and what is the typical terminal order size?
p. 5
“We have already executed one project of dedicated freight corridor in western sector.”
Hari Mohan Gupta, page 5 of the filed PDF · View the filing
Management said the company bid for 107 projects worth around Rs.48,000 crores in FY26 and secured around Rs.5,000 crores, with more results pending.
Answered by Hari Mohan Gupta
Asked by Vishal Periwal: Will the increase in railway project sanctions lead to better ordering for the sector?
p. 6
“We submitted 107 bids for around Rs.48,000 crores.”
Hari Mohan Gupta, page 6 of the filed PDF · View the filing
Management confirmed all contracts, whether nomination or competitive, include a standardized commodity price variation formula.
Answered by Ragini Advani
Asked by Vishal Periwal: Is there a fixed price contract structure even in competitive bidding, or is there a price variation clause?
p. 8
“There will always be a formula for certain changes in the procurement side.”
Ragini Advani, page 8 of the filed PDF · View the filing
Management specified own cash of about Rs.950 crores, with the rest tied to project advances.
Answered by Ragini Advani
Asked by Vishal Periwal: What is the company's own cash excluding advances?
p. 8
“Our own cash is about Rs.950 crores.”
Ragini Advani, page 8 of the filed PDF · View the filing
Management attributed the reduction to order book challenges, competitive market conditions, and delays in land acquisition and clearances on existing projects.
Answered by Ragini Advani
Asked by Sandeep Agarwal: Why has revenue guidance dropped from the earlier Rs.10,000-11,000 crore range to about Rs.9,000 crores?
p. 11
“So, we have also faced certain issues on some of our projects where the speed at which they should have got executed, they kind of reduced because of certain factors which are beyond the control of the company.”
Ragini Advani, page 11 of the filed PDF · View the filing
Management explained that consolidated debt relates to PPP project financing at the SPV level, not standalone Ircon, and will be repaid over the concession period.
Answered by Ragini Advani
Asked by Sandeep Agarwal: What is the company's debt position and plan regarding it?
p. 11
“So, all these debts are for PPP projects, not for Ircon standalone.”
Ragini Advani, page 11 of the filed PDF · View the filing
Management said about Rs.3,000 crores has already been invested, with another Rs.700-800 crores expected, mostly in the current year.
Answered by Ragini Advani
Asked by Rahul Sahu: How much has been invested in subsidiaries and JVs, and what is planned for FY27?
p. 12
“We have invested about Rs.3,000 crores already in our subsidiaries and JVs.”
Ragini Advani, page 12 of the filed PDF · View the filing
Management cited profit recognition from completing the Bangladesh project, foreign exchange gains, and generally higher margins on international projects, especially Algeria.
Answered by Ragini Advani
Asked by Nikhil Thakur: What drove the increase in international operating revenue?
p. 13
“typically, international projects tend to give us more profit margins, and some of them, over the period of time, have improved in their profitability, especially Algeria”
Ragini Advani, page 13 of the filed PDF · View the filing
Management said losses at CERL have declined and are expected to reduce further, while Ircon Soma Tollway's concession is ending, with overall JV profit share expected in a similar range.
Answered by Ragini Advani
Asked by Nikhil Thakur: What is the outlook for profit contribution from JVs?
p. 13
“Now, those, I won't say it's turned into profit, but the losses have declined substantially.”
Ragini Advani, page 13 of the filed PDF · View the filing
Management said they do not expect a major near-term impact, citing existing order book coverage and government focus on infrastructure, while noting they would monitor the situation.
Answered by Ragini Advani
Asked by CA Akash Dhanuka: Could the West Asia crisis and its impact on government finances push infrastructure spending back and cause the Rs.9,000 crore revenue target to be missed?
p. 14
“From a short to mid-term perspective, we do not see that impacting us.”
Ragini Advani, page 14 of the filed PDF · View the filing
Management said the exact cost impact is not yet quantifiable and depends on monthly government indices used in the price variation formula.
Answered by Hari Mohan Gupta
Asked by Sandeep Agarwal: How much has infrastructure project cost increased due to commodity price inflation on a year-on-year or six-month basis?
p. 16
“Price variation formula, the publishing of indices, it is a dynamic process.”
Hari Mohan Gupta, page 16 of the filed PDF · View the filing
Management confirmed standalone core EBITDA margins are expected to dip to 4-4.5%, but consolidated PAT margins should remain steadier due to PPP project contributions.
Answered by Ragini Advani
Asked by Vishal Periwal: Will EBITDA margins stay around 4-4.5% given new low-margin orders, with improvement possible once they conclude?
p. 16
“we would say that it would stay in the level of 4%-4.5% at core EBITDA level on standalone basis”
Ragini Advani, page 16 of the filed PDF · View the filing
Risks flagged
Sectoral headwinds and intensifying competitive pressure weighing on margins and order book
p. 4
“The company is facing a challenging environment marked by significant sectoral headwinds and intensifying competitive pressures.”
Ragini Advani, page 4 of the filed PDF · View the filing
Commodity price spikes, particularly petrol, diesel and bitumen, not fully covered by price variation formulas
p. 8
“those are things which probably do not get completely covered by those formulas”
Ragini Advani, page 8 of the filed PDF · View the filing
Geopolitical turmoil, including the Gulf war, creating an energy crisis and challenging sentiment for international orders
p. 9
“due to the present turmoil going on in the entire world, especially the Gulf War, the sentiments are quite challenging and they are having adverse impact everywhere because of the energy crisis and the increasing prices of the energy”
Hari Mohan Gupta, page 9 of the filed PDF · View the filing
Delays in land acquisition and government clearances affecting project execution speed
p. 11
“we assume that the land and all the clearances would be in place or they would come in due course”
Ragini Advani, page 11 of the filed PDF · View the filing
Shrinking margins across the EPC construction industry due to intense competition
p. 16
“There has been shrink in margins overall in the industry, which we had explained over the past two years as well.”
Ragini Advani, page 16 of the filed PDF · View the filing
Some competitive bids being placed well below cost estimates
p. 10
“In fact, some of the bids are going much below the estimate.”
Ragini Advani, page 10 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.