NCC Q4 Profit Jumps 25% as Revenue Rises 31%, Announces ₹2.20 Dividend in Face of Strong Order Book

NCC Ltd, the major construction and infrastructure firm, registered a robust set of numbers for the quarter ending March 2025, with consolidated revenue from operations jumping to ₹61.31 billion while net profit climbed to ₹2.54 billion. The stellar performance of the company was fueled by the ramp-up of project execution and a record order book, putting it on the growth path for the next fiscal year.

 

Profit and Revenue Growth:

NCC's consolidated net profit for Q4 FY25 rose 25% year-on-year to ₹2.54 billion from ₹2.04 billion in the corresponding quarter last year. Operating revenue increased 31% at ₹61.31 billion, which demonstrates gains from high order inflows and enhanced speed of project execution.

 

Dividend Declared:

The board has announced a final dividend of ₹2.20 per share for FY25, which is a reward for shareholders for the company's strong performance and healthy financials.

 

Operating Performance:

EBITDA for the quarter increased 18.5% to ₹5.50 billion, while the EBITDA margin eased to 8.5% from 9.4% in the prior year, reflecting some margin compression under the backdrop of higher execution volumes.

The topline growth of the company was driven by the good execution of orders won in the last fiscal year.

 

Highest Ever Order Book:

NCC closed FY25 with a record high order book of ₹575.36 billion, higher than ₹502.44 billion in the previous year. The order inflow for the year was around ₹260 billion, driven by higher government expenditure under the National Infrastructure Pipeline and strong demand for infrastructure development.

 

Strategic Outlook:

Management is optimistic of maintaining growth on the back of a healthy pipeline of projects across buildings, water, environment, transportation, railways, irrigation, and mining. The diversified portfolio and pan-India footprint of the company continue to underpin resilience and future prospects.

 

Insight

NCC's Q4 results highlight its impressive execution ability and the tailwind from a record order book. Although margins did take a dip as higher execution costs resulted, the firm's revenue and profit growth coupled with a fat dividend indicate strength of operations and confidence in things to come. As government capital spending on infrastructure is likely to be high in FY26 as well, NCC is placed to continue expansionist mode during the year.

 

Source: CNBC-TV18, Moneycontrol, NDTV Profit, NCC Ltd. Exchange Filings