Afcons Infrastructure (AFCONS) Q4 25/26 earnings summary

Executive summary

• FY 2026 was challenging, with the first quarterly loss since 2010 due to external and project-specific disruptions, and the highest ever order book of ₹32,496 crore as of March 2026.

• Revenue for the year declined 5.4% year-over-year to INR 12,322 crore; EBITDA margin remained healthy at 11.7%.

• Q4 revenue was INR 2,777 crore, with a net loss of INR 89 crore, impacted by provisions and one-time factors including new labour code provisions.

• Execution was affected by client liquidity constraints, geopolitical disruptions, and delayed project ramp-ups.

• Audited standalone and consolidated financial results for the year ended March 31, 2026, were approved with an unmodified audit opinion from statutory auditors.

Financial highlights

• FY 2026 revenue: INR 12,322 crore, down 5.4% year-over-year; Q4 revenue: INR 2,777 crore, down 18% from Q4 FY 2025.

• EBITDA for FY 2026: INR 1,439 crore (11.7% margin), down from INR 1,662 crore (12.8%) in FY 2025; Q4 EBITDA was ₹170 crore (6.1% margin), down 59.1% year-over-year.

• Profit after tax for FY 2026: INR 251 crore (2% margin), down from INR 487 crore (3.7%) in FY 2025; Q4 net loss: INR 89 crore.

• One-time labour code impact of INR 76.51 crore; excluding this, PAT would be INR 327 crore.

• Book to bill ratio for FY 2026 was 2.6x; order inflow was ₹4,125 crore.

• Net cash flow from operating activities was negative at ₹-127.49 crore.

Outlook and guidance

• No revenue or margin guidance provided for FY 2027 due to ongoing geopolitical and payment uncertainties.

• Order inflow guidance for FY 2027 is INR 30,000 crore, with INR 8,000 crore already booked and INR 7,000 crore in L1 status.

• Focus on sustainable, profitable growth by maintaining a robust order book aligned with execution capacity.

• Dividend of ₹2 per equity share (20% of face value) recommended for FY 2025-26, subject to AGM approval.