Good afternoon, everybody, and welcome to H.G. Infra Engineering Limited earnings call to discuss the quarter four and FY '26 operational and financial performance hosted by Go India Advisors.

We have on the call Mr. Harendra Singh, Chairman and Managing Director, and Mr.

Rajiv Mishra, CFO, from H.G. Infra Limited.

We must remind you that the discussion on today's call may include certain forward-looking statements and must be, therefore, viewed in conjunction with the risk that the company faces. I now request Mr.

Harendra Singh to take us through the company's business outlook, performance, subsequent to which we will open the floor for Q&A. Thank you, and over to you, sir.

At H.G. Infra, we are guided by a purpose build on trust and driven by a clean vision focused on sustainable and scalable growth for the future.

For FY '27, our vision is focused on long-term value creation for our shareholders under the tough condition of this year, considering the macro and micro conditions because of the continued headwinds emanating from the West Asia conflict and with other geopolitical outlook. As we all know, recent geopolitical turmoil and a global economic uncertainties have disrupted supply chains, elevated freight, war risk insurance coverage, prolonged shipping timelines, economic energy crisis, and increased volatility in fuel prices as well as forex rates, other commodity markets, and same is pushing up, and the prices are high and hard for infrastructure, and these challenges have resulted in a higher input cost for all metals, HSD, bitumen, cement, logistics, and transportation.

This year looks extremely vulnerable to geopolitical, macroeconomics, and policy risk policy risk, and demand growth looks tepid due to economic slowdown. Losses in margins are likely to take a longer period to recover, resulting in continued volatility in the market due to the deferred and the disillusion story of Indian corporates.

Despite these headwinds, India's economic outlook remains resilient and promising. India is now one of the fastest-growing major economic economies, and with Viksit Bharat 2047 vision will require sustain investment into infrastructure across roads, rails, power transmission, and urban development to support the economic growth, connectivity, and urbanization.

At H.G. Infra, we have been contributing to India's infrastructure journey for over two decades, and we are also strengthening our presence beyond roads and railways into emerging sectors like solar energy, battery energy storage systems, power transmission, and positioning ourselves to support India's next phase of growth and renewable energy transition.

Talking regarding the roads, as mentioned above, recent geopolitical tensions have created uncertainty across global markets and impacted the overall infrastructure sector. Coupled with the muted bidding and the project-awarding activity by NHAI and MoRTH during FY '26, the road sector witnessed a relatively subdued order inflow environment and resulting in lower-than-expected order awards across the industry.

Despite these near-term challenges, the long-term outlook for the road sector remains positive. Supported by the government's strong infra push, for FY '26, the government allocated approximately ₹2.72 lakh crore to the Ministry of Highways, demonstrating its continued commitment towards highway development and connectivity enhancement across the country.

For FY '27, the company expect road sector order inflows of approximately ₹7,000 to ₹8,000 crore against the bid pipeline for current of current ₹72,000 crore and other bids expected in future. The company is actively pursuing opportunities in HAM and EPC from government and also engaged with private sector players for EPC projects, considering the shift in focus by government towards BOT-based project development.

As a result, the company has already secured the Pune-Shirur road project from Welspun worth ₹3,940 crore on a BOQ EPC basis. Regarding rails and metros, which continued to witness strong growth driven by government focus on station development, railway electrification, dedicated freight corridors, new railway lines, metro rail expansions, depot, and other ROBs construction for overall network modernization.

The government also allocated a record ₹2.78 lakh crore towards railways in FY '27, reflecting its continued commitment to strengthen rail infrastructure across the country. HGIL has established a strong presence in the rail and metro segment with 10 ongoing projects in its order book, including two recently secured railway projects from Adani Group at Anuppur and Mirzapur thermal plants and another project of Thane Metro in the last quarter.

The company continues to actively pursue opportunities directly from government as well as through leading private sector players, providing a strong platform for future growth into this segment. Renewables and green energy always for India's focus, where we are witnessing strong growth supported by the government clean energy target and an energy increasing investment into solar, battery, power transmission sectors.

BESS is emerging as a critical enabler of renewable energy integration, and with India targeting significant storage capacity additions over the coming years. The company is strengthening its presence in energy sector.

The company has all recently backed two transmission projects in Uttar Pradesh and Jharkhand with a combined project value of approximately ₹1,200 crore and creating a strong platform for future growth in the in this renewable and energy infra space. In addition to this core segments, the company is actively evaluating opportunities in tunnels, water infrastructure, building, and other specialized EPC sectors to drive long-term growth and diversification.

Let me begin with the glimpse of our operational highlights. As of quarter four FY '26, the company's order book stood at ₹10,147 crore comprising ₹5,392 crore from roads roads and highways, ₹2,825 crore from railways and metros, ₹1,527 crore from BESS, ₹86 crore from solar projects, and ₹318 crore from transmission and dev- distribution.

Segment-wise, roads highways contribute 53%, railways 27, and remaining 19% is from renewables. The update on the ongoing EPC projects: Ganga Expressway already being handed over to client after reaching 100% completion in this quarter.

The UER project has been completed and was open to traffic in August '25. The completion certificate is anticipated to be received shortly.

The Jamshedpur elevated project is running smoothly with the current progress of 52.36%. The Neelmangala-Tumkur project is at 62% completion and progressing towards timely completion now.

The DLA project is at an initial stage with completion of just 1%. Further to which, we have removed the MSRDC projects of Nagpur-Chandrapur Package 4 and 5 from our order book following the receipt of respective bid securities without any formal communication from the authority in this regard.

Regarding the HAM projects, the Karnal Ringroad project has reached 97% completion, where we have applied for PCC, which we are expected to get for in this quarter only, quarter one FY '27. As shared in the previous quarter, provisional completion certificates for the project of Raipur-Visakhapatnam corridor, OD-5, OD-6, and AP-1, already received, and all projects remain close to completion.

The Khammam-Devarapalle project, KD-1 and 2, PCC already received, which are at 99.3 and 98.5% completion respectively, and the CODs are expected in quarter two FY '27 and quarter one FY '27 for these two projects. The Chennai-Tirupati HAM project reached at 54% completion.

Varanasi-Kolkata Package 13 has achieved 29.7% progress upon receipt of provisional appointed date, and the appointed date for Package 10 of in Varanasi-Kolkata Jharkhand is expected in quarter one FY '27. Kosi Parikrama Package 7 of Ayodhya, appointed date for the project being declared on 16th of January '26, and the project's execution stands at 22.1%.

Narol-Sarkhej project has achieved 42.4% progress and remains on track for timely completion. In one HAM projects only, the company received LOA dated February 27, 2026, from NHAI for Capital Ring Road Package 3 project in Odisha under HAM mode with the project cost cost of ₹1,582 crore.

The land acquisition process in an advanced stage, and the appointed date is expected in quarter three of the year. Turning to the progress of railway projects, the DMRC metro project is 99.4% completed and progressing for near just targeting completion in quarter one FY '27.

The Bilaspur, Himachal Pradesh project is 97.3% complete and target for targeting for completion in quarter two FY '27. The Kanpur railway station project is 50 50.94 completed.

The Dhule-Nardana project has achieved 42.4% progress, and Gaya-Son Nagar Gaya-Son Nagar project at 40.1, and Karanjgaon project at 46.6% respectively. The appointed date for the New Delhi railway station project was declared on 6th August 2025, and with initial hiccups into land clearance, now the execution is in full swing, and the project is completion complete at a 50 11.15% completion.

The appointed date for newly awarded Thane Metro project being declared as 11 January 2026, and the project is in construction phase. Company has recently secured two railway projects from Adani Group.

One is in Anuppur, Madhya Pradesh, worth ₹340 crore, and Mirzapur the other one is Mirzapur, Uttar Pradesh, worth ₹440 crore. Both the projects are currently under mobilization, and both these projects are also in execution phase.

Regarding solar projects, as of 31st March 2026, overall physical progress reached approximately 96.3%. The progress of these projects got affected and delayed due to prolonged monsoon conditions and the land acquisition challenges for the transmission line and certain local issues, which are being resolved progressively.

The company is deploying adequate resources to commission all plants within the revised contract timelines over the coming months. Notably, the ministry MNRE has extended the Kusum C schemes A and C commissioning deadlines in Rajasthan to March 31st, 2027, because of the local developer challenges.

Financially, we have got a sanction of the the sanction of around 85% of the project debt required for these project, and out of this, approximately 93% of the sanctioned project debt has been disbursed. The maximum of these plants, around ₹350 crore, is expected to be released post-commissioning of the plant in quarter one and quarter two.

To bridge the temporary gap funding gap the and to maintain the project momentum, the company secured additional working capital temporarily increasing overall leverage. Upon receiving the final solar pending disbursement, existing high debt utilization level will be reduced in quarter two 20 2027.

Total equity investment stand at ₹851 crore, which includes ₹99.27 crore loan repayment required by lenders due to commissioning delays. However, this amount will be re-sanctioned post-commissioning, lowering the net capital investment for FY '27.

On the operational front, the company has billed ₹132 crore to discoms from 131 commissioned plants and has realized collection of ₹114 crore till date. The BESS projects, wherein binding agreement with GUVNL and NVVN for three battery storage project with an aggregate capacity of 735 megawatt 1,470 megawatt-hour, the procurement activities for these projects have having total capacity of 870 megawatt-hour have commenced, and orders for critical long-lead items such as power transformers, GIS switchgear systems are being placed.

The overseas vendor for the DC block containers has been finalized, and the company has executed the supply contracts, long-term service commissioning, and technical agreements with them. In January '26, the company through its SPV acquired land for Banaskantha and Dholera project, and the execution is in full swing in both the projects.

Also, the third BESS project, Choraniya, which is at to be which is to be completed by June '27, is moving in the right pace. Connectivity approvals for both Banaskantha and Dholera project have been received, and the execution respectively connectivity agreements is currently under progress.

Upon commissioning of all these BESS projects, the company expect to generate annual revenues of approximately ₹225 crore. Power transmission project: regarding the transmission project, where first project is going as per the approved project schedule.

SPV being incorporated, project design, engineering activities are being completed, and procurement orders for long key key long-lead item being placed. The SPV has successfully achieved financial closure, and the procurement activities for all major project components are currently in progress.

Overall, the project remains on track and planned time with the planned timelines and milestones. Recently, the company has secured two power transmission projects from RECPL in Uttar Pradesh of ₹310 crore EPC value and in Jharkhand ₹910 crore EPC value.

These projects are expected to be to contribute ₹160 crore annually to the top line over next 35 years once commissioned. Update on monetization of five HAM projects: as in March '26, we successfully transferred 100% of shareholding of KD-2 and 49% of KD-1 receiving partial consideration of ₹153.71 crore and ₹81.69 crore respectively.

The remaining holdback amounts are expected in quarter one and quarter two FY '27 following the project's commercial operation date to be declared and completion of few punch list items. Subsequently, in April '26, we transferred 100% of our shareholding in Raipur-Visakhapatnam OD-6 package receiving a partial consideration of ₹203 crore with the remainder due in quarter one and quarter two final post-final COD.

We expect to complete the equity transfer for project OD-5 and AP-1 projects during upcoming quarters. Regarding the Karnal HAM projects, we are in discussion with the prospective investors to finalize finalize the non-binding offer, and said project is likely to be monetized by the year-end.

Regarding equity requirements in on the HAM projects, the total equity requirement for these 11 HAM projects is around ₹1,913 ₹3 crore. As of March '25, ₹1,210 crore being infused.

Out of remaining amount, sorry, as of March '26, ₹1,210 crore being infused. Of the remaining amount, ₹414 crore is estimated for infused in FY '27 followed by to ₹229 crore in FY '28 and ₹50 crore in FY '29.

Moving on to the financial highlights of quarter four and a quarter FY '26. We have started the last year with the expected new orders inflows of ₹10,000 crore, but due to lukewarm bids pipeline, we could secure only new orders of ₹3,800 crore during the year.

Moreover, substantial delays in appointed date in the running order book has further impacted the revenue and and the margins due to the lower-than-expected project awards that has affected the order book and the revenue growth. Further, due to the geopolitical uncertainties, prolonged monsoon, higher commodity prices during the year, the last quarter exclusively was deeply affected and resulted in project execution, cost escalation, and profitability.

Standalone financial Regarding the standalone financials, revenue for quarter four FY '26 reached ₹1,354 crore with an EBITDA of ₹127 crore and at a the at a margin of 9.37%. PAT for the quarter four FY '26 stood at ₹99 crore with a PAT margin of 7.35% compared to ₹212 crore and a margin of 10.76% in quarter four '25.

Revenue for FY '26 reached ₹5,667 crore with an EBITDA of ₹733 crore and an EBITDA margin of 12.94%. The PAT for FY '26 stood at ₹389 crore with a PAT margin of 6.87% compared to ₹577 crore and a PAT margin of 9.54% in FY '25.

On a standalone basis, our gross debt stands at ₹1,627 crore, which comprises of ₹731 crore in working capital, ₹400 crore from NCD, and ₹496 crore from term debts. Now the consolidated financials: revenue for quarter four '26 reached ₹1,427 crore with an EBITDA of ₹237 crore and an EBITDA margin of 16.64%.

PAT for the quarter FY '26 stood at ₹85 crore with a PAT margin of 5.93% compared to ₹147 crore at at a 10.8% margin in quarter four FY '25. Revenue for FY '26 reached ₹5,235 crore with an EBITDA of ₹1,012 crore and an EBITDA at a margin of 19.33%.

PAT for FY '26 stood at ₹330 crore with a PAT margin of 6.3% compared to ₹505 crore and a margin of margin of 10% in FY '25. The way forward: as we begin our journey from a single state, and now today execution footprints extend across India with successful project delivery in more than 14 states spanning north to south and west to east.

Over the past 23-plus years, we have earned a reputation of building India's infrastructure with trust, passion, and quality. Guided by a vision to connect every citizen and community to the nation's progress, we are confidently targeted targeting ₹11,000 to ₹12,000 crore of order inflow for FY '27 driven by a clear data-backed strategy to secure approximately 70% from roads and railways, where our execution capa- capability outpaces competitors, and 30% from rapidly expanding verticals.

Our historical dominance in roads and highways continued to fuel our core growth. However, recognizing increased competition and margin compression, we are proactively reshaping our portfolio for long-term value creation.

We are aggressively entering high-growth, decent margin sectors, BESS and transmission, leveraging our deep engineering expertise and a proven execution record. This goes beyond diversification.

It is targeted expansion into future profit pools, and we remain strongly focused on digitalization and technology-led project execution enabling real-time monitoring, improved operational efficiency, enhanced cost control, and better resource utilization. Combined with our disciplined approach to strategic bidding and project management, these initiatives are designed to protect and expand margins, minimize debt, and maximize shareholders' return.

We are positioned for accelerated growth and superior returns, and our diversified pipeline, financial discipline, and bold sector bets position us as a future-ready, multi-sector infrastructure leader. We committed to deliver outsized value of our investors year after year.

I will now hand over the call to our IR advisor and request them to open the floor for question-answer session. Thank you.

Thank you, sir. Sir, a couple of questions.

Obviously, this quarter is the worst quarter on the execution and on the margin front. First, wanted to try to understand what went so wrong that in the middle of quarter also we were confident to kind of achieve a ₹2,000 crore revenue, 15% margin, and versus actually it is a kind of a ₹646 crore lower revenue, and the margin is also way below what we were thinking, 9.4%.

Just trying to understand is there any specific project, any one-off, anything what has happened to such a bad performance?

I appreciate the concern. Regarding the revenue, this is a technical matter into few of the BESS projects, where they are the only eligible entity, which they may get this mover advantage while importing the battery part from China or overseas.

For that reason, this order book, which was into H.G.' s scope, has been taken out into SPV.

That has been one of the reasons. Also, a few other reasons because of this appointed date, which we are expecting of Jharkhand 10 and one or two projects, which were impacted.

This has been the big reason for the revenue as we were expecting around at least flat last year's number. Again, the margin has been because of the few technical checks for few of the projects, where the operational claims are not yet realized, which were supposed to be there in quarter four only.

In quarter one, one of three of the projects where the settlement agreement being executed, and one or two projects likely within one or two months. Those are the reasons when they are being corrected into the margins.

Sir, now how one can look at the revenue for the entire FY '27, '28 and the margin, and at the same time also want to understand in terms of the segment-wise in terms of the HAM, EPC, railway, solar, solar though is very, very less, now ₹86 odd crore, but the BESS and the new transmission also. Whatever the new we have got, and in the Welspun also the order.

Broadly if you can spell out how we want to kind of execute in FY '27, that would help us. In terms of the margin, as you are saying, that three projects claim settlement is done, and maybe one or two will be done, can the margin again will start coming back to 15 odd percent from the Q1 itself?

For full year, how one can look at the margin also?

As far as execution is concerned, whatever correction which was supposed to be there in battery projects, now in the just one first two months, we have secured almost ₹5,500 crore of order. Which we believe that this year would be quite a good year for us as far as execution because almost all the projects which we are now working would be in a active phase except for the project with the appointed date of Pune-Shirur, which is Welspun project, expected in October, and the project of Odisha Ring Road expected in October.

With that, we are targeting a good amount of say percentage growth into this year. We are looking at about ₹6,500 crore-plus of turnover for the year.

Okay.

As far as margin is concerned, definitely there has been a big reason across industry, which also as I addressed in the opening remarks, that there has been few turbulent say as the metal prices, as the fuel, energy. These are all logistics.

These are supply chain disruptions, which are causing delay as well as which are causing the margin are under tremendous pressure. With whatever correction being done in quarter four, the settlement agreement for these all five to seven projects being likely to be done in the coming quarter only.

With that, we believe that definitely whatever positive corrections because of the last spillover would be added into this year number. Roughly we would be around a range of 14% despite of the fact that the margins are under tremendous pressure for the year at the start for this geopolitical situation.

In Q1 also, can we see the similar 10, 11%, and then from the 2Q or maybe third quarter onwards, we will

As a broader understanding, we can just see the entire because immediately we cannot just see the big correction is going to happen in quarter one.

Got it.

Shravan, sir,

Yes. Hello, am I audible?

Yeah.

Yes, thank you for the opportunity. A couple of queries.

When I look at your net debt-to-equity at a consolidated level from FY '25 to '26, it has increased 1.3 to 1.4. Just wanted to understand what was the reason for the increase and what are our plans in terms of reduction in our debt levels?

As far as consol is concerned, definitely with the monetization proceeds, which were delayed a bit because it was expected in quarter three and quarter four for all these five projects being monetized. This is the big reason when we are seeing a bit high number into net debt-equity in consol as well as if you talk of standalone also, we are expecting this to be drastically reduced from this 1,600-plus crore of debt would be in a range of about ₹800 to ₹1,000 crore of debt in first half of this year.

How much are we looking to monetize in FY '27?

These are the five projects which we are already SPA executed, few of the transactions already done, and a few more transactions where around ₹1,000 crore are likely to be received in this quarter one and quarter two only.

Okay. That is how much that we are expecting in FY '27 it will be reduced.

Any other proceeds that we are expecting to get this number further down in FY '27? Definitely.

Solar project where the debt into SPVs was not say because of ₹99 crore also we deposited back to bank because of the timelines, which was not extended by MNRE. Now being extended, with this re-sanction being done by the bank SBI, now around ₹350 crore of the debt would be released to SPV, and inter-SPV will be paying back to H.G.

Infra.

Got it. In the recent two transmission projects that we had received, can you quantify how much is the EPC value for the project?

That ₹1,220 crore of roughly EPC, and these equity requirement would be ₹275 crore in both the projects in a span of 3 years.

Got it. I'll join back in the queue.

Thank you so much.

Thank you for the opportunity. Can you give me a total of how much equity requirement for both the HAM and the BESS projects?

Total equity requirement as of now, which is around ₹1,200 crore. Out of ₹1,200 crore, you see in quarter this FY '27, we are around estimating around ₹760 crore, ₹414 crore in HAM and ₹345 crore in BESS and this energy and transmission also.

In FY '28, it is it would be 229 into HAM and 132 in energy, and balance is very small into in in in FY '29.

So ₹1,200 crore is for both HAM and solar project, right?

Yes.

Can you quantify how much amount is pending from the monetization, the total amount?

Which we are expecting now?

Yes, in this year.

In this year, ₹203 crore already received in April, and around ₹900 crore-plus is likely to be received in first half of the year.

You said ₹904 crore, right? Hello?

Yeah.

₹904 crore is pending, right?

₹935 crore, to be very specific, in first half. ₹203 crore already received, and balance ₹935 crore additional would be there from June, July, August, September.

Thank you. Those were my questions.

Yeah. Sir, on the order inflow front, you said ₹11,000 to ₹12,000 crore, so that will be over and above of ₹5,600 crore that we have received?

No. For the entire year, we are expecting ₹11,000 to ₹12,000 crore, out of which around 50% of the order already received.

Because the order which we are expecting ₹3,900 crore, which were last year, now it has been received. It's for the year only.

We are considering for the year only.

Sir, then this is a decent gap which is there because in FY '26 also we kind of got ₹2,500, ₹3,000 crore less plus ₹4,142 crore MSRDC cancellation. Kind of a ₹7,000 crore additional.

This number was previously also we were looking at the similar number. This year to fill the gap, we actually need a kind of ₹17,000 crore-plus kind of a order inflow total to fill the gap of FY '26 plus MSRDC.

In any case, because of the recent scenario, you cannot guarantee the orders for the year because in the last year also we were expecting a big order inflow from NHAI only, but nothing has happened, nothing big has happened rather. With that, we cannot just guarantee.

Now we if we are estimating at ₹12,000 crore in for the year, and if we execute around ₹6,500 crore, we would be having around 1,600 or ₹16,000-odd crore of order backlog FY '27. As of now, because of this war situation, because of this geopolitical any turmoil, we cannot guarantee anything in India also we would be able to grab this kind of a number.

We can always see in quarter one after quarter one and quarter two if any positive. The company is again interested into looking into the healthy order positions as well as decent margins so as to sustain and scale both.

Got it. Given that let's say by end of FY '27 whatever the number we are saying, a ₹16,000 crore kind of a order book is there, for next year, FY '28, how one can look at in terms of execution?

This year you said ₹6,500 crore.

Once everything stabilize, definitely we are aiming to look at whatever is the shortfall for the year, which last year we have seen negative growth in revenue as well as margin was into pressure. We would be try to recover back to the normalcy and expecting around ₹8,000 crore of orders execution in '28.

So

₹8,000 kind of a revenue can be doable in FY '28. With this the number, if we get the more inflow, then would be a better.

On the margin front, particularly the recent one, whatever we have received, this 5,600 because it has the decent ₹3,900 crore the Welspun order one. Just trying to understand relatively, obviously, whatever the commodity inflation is there, that will definitely will have a impact, but structurally one can look at at least we can have a 13, 14% kind of a margin on a sustainable or as we keep on having the new orders, new segments, then we ultimately will kind of a move to a 11, 12% kind of a range over a three, four years?

That's the broader understanding wanted.

Definitely this margins which we never want to see that the growth is at a less margin. We would be expecting around 13 to 14% growth year on year margins with a growth of about 15% year-on-year.

Okay. A couple of, sir, balance sheet data point if you can share: unbilled revenue, mobilization advance, retention money, HAM debtors, solar debtor, and Ganga debtors.

You see the debtor balance is around ₹1,560 crore. This ₹1,560 crore plus ₹190 crore is retention from debtors only, old.

Out of which, BESS and transmission do have ₹128 crore, and Ganga is ₹195 crore for Adani, and HAM is all HAM SPVs all seven, eight, nine SPVs are there are ₹690 crore, and railway around ₹218 crore, and balance is SPVs of solar around ₹280 crore. As far as unbilled is concerned and few of the others also is there balances others.

On contract assets, this breakup is around ₹1,800 crore, that has gone very high because of few of the project which we are expecting COD, where the operation claims and other final bills were likely to be received, but could not be done. Then here the breakup is into solar, ₹116 crore, and railway is 449, and HAM is ₹690 crore all SPVs, and Ganga is ₹139 crore, and rest is NHAI and others ₹178 crore and ₹215 crore.

Okay. Total, sir, put together, you said 1,766 the unbilled revenue?

It's 1,857, to be very specific.

70

is BESS and transmission. You're correct.

Sorry, sir, I didn't get that. ₹1,856, you said the total number?

It's a total of 1,857, out of which all already breakup has been given. You can just take the detail numbers from Rajiv also.

Got it. Mobilization advance would be?

Mobilization advance is ₹327 crore.

₹327. In terms of broader level, the capex for this year and next year given the

new segments? Not much of a capex being done last year also, not big capex.

Around ₹50 crore of capex hardly would be there for the year for the kind of a contracts we do have and the few projects which we are likely to get.

Okay. Debt, you said, by 1H, we should be reducing to ₹800 to ₹1,000 crore, or by ₹800 to ₹1,000?

Yeah. We are targeting at this once this transaction of all HAM projects as well as solar debt being recovered through SPV.

This is a good number. Again this unbilled contract assets, which are likely to be billed very fast now because all the projects are nearing COD and with all settlement agreement and final agreement being signed by the client.

We are hoping in quarter two and quarter three likely around ₹500 crore would be received from these contract assets also.

By September, we are looking at this ₹1,627 crore debt will come to ₹800 to ₹1,000-odd crore. Then further maybe by March with the solar debt reduction, maybe further we can expect the further reduction?

Quite

right.

Okay. Sir, lastly the equity breakup in terms of again if you can specify, particularly the solar one you said that equity requirement 731 has increased to 851, correct me if I'm wrong?

No.

What has happened, the bank has recalled certain loans because the timeline of this solar project they were not extended. Now with the extension being done to 31st March '27, again this ₹99-100 crore were going to be re-sanctioned and would be released.

Put together, the total equity requirement in energy, BESS and all, would be around

₹345 crore. Okay, ₹345 crore is

for the year.

For the year. No, currently in solar, the number is the same, ₹731 crore, and then the BESS, how much

we are infusing? Whatever additional payment we are given, we will be paid back.

Sir. Thanks for the opportunity.

Sir, just continuing with the previous, these transmission, BESS, and solar projects, we are funding at what debt-equity ratio?

This is around 30:70. Say this is around 27%.

27% equity and rest 73% debt.

Okay. Even the Mirzapur and the Jharkhand project for Financial '27 that we received, it is a similar sort of project?

Of course. I think it's having the similar norms.

Okay. No, the reason I'm asking is because you mentioned we'll be putting ₹275 crore equity in these two projects, and if we do 70:30 sort of debt-equity ratio, then the gross block comes to almost like ₹900-odd crore for these two projects, and the EPC value is almost 13 and ₹1,200-odd crore.

Just

This is a EPC value plus some interest during construction, some soft and hard cost. Overall EPC contract is including GST.

Probably it is to be looked into because just 2 days back we have received this project.

Okay.

The equity requirement roughly is 275. It can maybe just ₹25 crore this side, that side.

Okay. Sorry, you mentioned 375?

275.

275. 275.

Fine. Sure, sir.

Second, on this revenue growth trajectory for the next year, almost like 14%, 15% sort of growth that we are projecting. Now is this fair to say probably the growth will be evenly across the quarter, because for the quarter one almost like 2 months have passed.

Can we say that probably 14, 15% evenly will be there, or do you think the trajectory will be more of a third or fourth quarter?

I think later half of this year would be quite aggressive because we would be seeing some big ticket-sized projects contributing a lot. For first half, no doubt for the last year what we have achieved would be roughly around that, because last year first half was quite good and later half was quite dull.

Got it, sir. Last thing, in terms of margin trajectory, though your commentary did mention that we are seeing inflationary pressures, overall system is facing that, but in terms of our guidance from 13% that we have clocked in FY '26, we are projecting almost like 100% 100 basis point increase in '27.

Is this any project mix that is changing in revenue, or what could drive the margin increase for us?

Just the total projects which we are executing, around 70% are from infra, rail and roads majorly. That bears a decent margin about 14 to 15% bearing one of the one or two projects.

Then again the other projects which we are operating like battery and transmission and they do have around 12 10 to 11% projects. Put together around 14% average margins are there in all these projects.

Okay. Sure, sir.

I think that's all from my side, and I'll come back in the queue.

Thank you.

Hi, sir. Thanks a lot for the opportunity.

I had dropped out in between. I just had a few follow-up questions.

On the EBITDA margin guidance, that would be around 14 to 15%, sir, right if I'm not wrong?

No. Sir, what we're discussing about, because of this disruptions and other issues, you cannot guarantee the margin accurately.

We are expecting around

14%

for the entire year is possible. It may be quite say not into that range in quarter one and quarter two.

Once after that the normalcy once it comes in, then it would be again stable.

Right, sir. I think the overall guidance we have is about ₹11,000 to ₹12,000 crore.

This is including the one that we have already received of ₹5,500 crore.

Yes, we are keeping the guidance because say in any case the project which are there in the pipeline is good, but you cannot guarantee those orders, which for last 1 year we also were waited for those orders. Again if we are expecting that 5,600 already done, we would be definitely in having an upper edge to just see this streak continued.

We are expecting 6,500-odd crore to be added during the balance of the year in 10 months.

Understood, sir. On the revenue front, because I think last time we had guided some ₹7,000-odd crore of revenue, is that the similar revenue guidance we have this time?

Yes.

Understood, sir. On the debt balance and the debt-equity ratio, just what are you expecting say by FY '27 in terms of your targeted debt and debt-equity ratio you plan to maintain over?

That number at standalone and consol level, as we are discussing, that we are targeting 800 ₹800 to ₹1,000 crore of debt by year-end at standalone basis, and the debt-equity ratio for consol would be less than one.

Understood, sir. On the asset monetization, we have I think I'd noted five projects we have for FY '27 of which we are expecting ₹1,000-odd crore to be received by Q2.

I hope I

Out of these five projects, this is the balance which is around ₹1,000 crore in first half of this year. We are targeting to monetize the sixth project very soon when we are going to receive the PCC.

For the entire year, we are looking into the further getting NOC, and by end of this year, we likely to close this transaction also.

Understood, sir. On the HAM equity requirement, I think I had noted ₹1,200 crore is the overall equity requirement that we have for '27.

Equity would be ₹760 crore, '28 ₹229. I hope I have caught this one right, sir.

You are right, Aditya. This is the same number.

Perfect,

perfect. The balance would be for FY '29 in that case?

Quite right. Understood.

Just one thing over here, I think last time you had mentioned Nagpur-Chandrapur execution was affected. If you could continue on that one?

No, no. The Nagpur-Chandrapur projects, which we are taken out from our balance order book because there's no surety regarding that since the bid security being released by client.

With that, I think the clarity is maybe they are going to be rebidded. Once they are going to be bidded soon, then we can expect further okay, if those are the projects or any of the projects from Maharashtra, we would be likely in race to bid and receive.

Okay. Because I think we were earlier planning the execution to begin by H2 FY '27, I think that is where we stand even today.

That was a initial indication, but the land acquisition and everything is going at a very advanced stage, but we are not expecting this to as the bid security being refunded, it clearly indicates it is going to be rebidded.

Understood, sir. Understood.

Thank you so much, sir. Thank you so much for the numbers.

Thank you.

Thank you for the opportunity again. Sir, what would be our current bid pipeline, and have we bid for any projects where the results are yet to come out?

There are around ₹25,000-odd crore of project already has bidded. Mostly are from roads, few from rails, and one or two from transmission and BESS as well.

Further this pipeline which already is there is around 70,000-plus crore in roads and around 30,000 in railway, which are visible, which we would be likely to bid in near future.

Sorry, sir. You said ₹70,000 crore for

This is a road pipeline, which we are going to bid in the near future. ₹30,000 crore of order already we had bidded majorly into road, majorly from roads and rail.

Okay. In your initial remarks, you said that we expect around ₹225 crore BESS revenue, is that right?

This revenue from BESS or transmission and solar, like solar, we already clocked ₹130 crore last year. This is a revenue which will be coming in SPV as EBITDA.

These are all projects with ₹225 crore in BESS and transmission and the solar. This is around ₹500 to ₹550 crore of total top line year-on yearly where we will be getting once commissioned.

Okay. Thank you, sir.

sir, just a clarification. I think in the previous answer to the HDFC guy, you said that for FY '27, the revenue guidance is ₹7,000 crore, but actually initially you said ₹6,500-odd crore, just to clarify.

Shravan, I think it's roughly we are targeting at 6,500-plus number. Definitely as we are having a strong number now with balance of about ₹15,500 crore, and we expect that it would be roughly half of the order would be executed because the maximum of the projects which are likely to be finished within this year.

That gives us the surety. Again the pond ash is one item where the supply is mandated to SPVs in Jharkhand project, which were not earlier having is in their order.

Likely that 600 ₹700, ₹600 crore of order would be done in pond ash transportation also. This is how we are looking at about ₹7,000 crore.

Okay. Any rough idea once we get this Welspun appointed date by October, out of this ₹3,900 crore, how one can look at this year and the next year in terms of the revenue?

We are

roughly we would be doing around ₹750 crore in Welspun order because in initial 2 months also, this 4 months also, there's ₹115 or ₹115 crore of utility shifting to be done, some pre-construction phases where they are going to pay us. These are this is not only after the appointed date, the full execution would be done, but the first say few months, we are doing that execution, which is really required, and that is going to add into revenue.

Roughly for the full year, maybe a ₹900 crore kind of a revenue is doable in FY '27?

Yes,

yes, yes. Then for next year, then it would be a close to a ₹1,800-plus kind of a number should be there from this?

Not maybe exactly 1,800, but definitely it would be not less than 1,600. To complete the project in 18 this 36 months, and we are targeting that because this is having the bonus clause to be completed in 18 36 months, ₹50 crore, and if it's being done in 33 months, it's ₹75 crore.

Okay. The new one, this Odisha HAM, there do we see any kind of a issue in terms of a land or anything because

No, no, there the projects which are now being awarded by NHAI, they do have a very good say good feature as far as appointed date would be aligned with the contract agreement, concession agreement. Say within 6 months, once the LOA or concession agreement signed, we are expecting that all project do have this beauty of land acquisition, controlled land acquisition rather.

Okay. Sir, broader level, how one can look at the your or your own estimates from NHAI besides let's say for this year how much kilometer or value, and that too also they are also saying that the BOT would be the preferred mode for them now.

If that is also the case

They were not expecting that the say quite of interest has not been showed by many of the players in BOT segment. With that, we are expecting that no doubt HAM more preferred, but BOT or last is EPC.

Roughly how much kilometer do we think, 3,000-odd kilometer or maybe

Exactly I'm not having very exact number.

Okay. If they go for a let's say BOT toll, but we will not go for it, we will prefer to kind of a subcontract the way we are doing for the Welspun?

As of now, we are not. As of now, it is very clear.

Okay. Got it, sir.

Thank you for joining us today. We remain confident in our continued success and are here to address any further questions.

Please feel free to reach out to us or our IR advisors, Go India Advisors. Thank you.