Hindustan Construction Company (500185) Q3 25/26 earnings summary

Executive summary

• Standalone net profit reached ₹85.9 crore in Q3 FY26, a turnaround from a loss of ₹216.4 crore in Q3 FY25, with turnover at ₹921.8 crore.

• Celebrated centenary year, highlighting a 100-year legacy and strong credentials in infrastructure and nation-building.

• Secured two major orders worth ₹1,478 crore in joint venture and emerged lowest bidder in projects worth ₹2,675 crore (HCC share: ₹1,517 crore).

• Rights issue of ₹1,000 crore was oversubscribed by ~200%, strengthening the balance sheet.

• Significant deleveraging with ₹680 crore prepayments in FY26 and further ₹876 crore repayment planned in Q4.

Financial highlights

• Standalone EBITDA margin improved to 15.2% in Q3 FY26 from 14.7% in Q3 FY25.

• Standalone net profit for Q3 FY26 was ₹85.9 crore, a turnaround from a net loss of ₹216.4 crore in Q3 FY25.

• Consolidated net profit for Q3 FY26 was ₹8.07 crore, compared to a net loss of ₹38.92 crore in Q3 FY25.

• Exceptional gain of ₹37.81 crore in Q3 FY26, including a one-time write-back of corporate guarantee liability and a charge related to new labour codes.

• Rights issue proceeds and receivables from subsidiaries contributed to improved liquidity.

Outlook and guidance

• Robust bid pipeline of ₹53,820 crore, with bids under evaluation totaling ₹35,765 crore (HCC share: ₹31,611 crore).

• Order intake YTD at ₹3,800 crore, with L1 position in another ₹2,000 crore and expectation to close shortfall in coming months.

• Targeting 15%-20% CAGR in revenue growth, aiming to double turnover every three years.

• Margins expected to remain strong or improve, especially as deleveraging continues and nuclear opportunities scale.