NCC Q1 FY27 Results (NSE: NCC)
Signal: Growth reaccelerated
The read
The key inflection is a return to 12.2% YoY revenue growth after three consecutive quarters of decline, with EBITDA margin reaching 9.9%; however, consolidated gross margin compressed approximately 240bps as raw-material intensity rose to 33.5%, and the real-estate segment continued to drag with a ₹42.23 crore loss.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹5,811.83 Cr | +12.2% | -6.8% |
| EBIT | ₹506.46 Cr | N/A | |
| Net profit | ₹216.4 Cr | +12.6% | |
| EPS | ₹3.45 | +12.7% | |
| EBIT margin | 9.9% |
P&L walk
Consolidated revenue recovered to ₹5811.83 crore, +12.2% YoY after three consecutive quarters of YoY decline, while EBITDA margin expanded to 9.9%; PAT rose to ₹216.4 crore, supported by operating recovery and clean earnings quality.
Segments
Construction drove the group with ₹5759.29 crore of revenue and ₹347.22 crore of segment result, while real estate remained a ₹42.23 crore loss; the consolidated PAT of ₹216.40 crore versus standalone PAT of ₹187.31 crore confirms material earnings contribution from the wider group.
Key positives
- Consolidated revenue reached ₹5811.83 crore, growing 12.2% YoY after Q1-Q4 FY26 revenue declines.
- EBITDA margin improved to 9.9% from approximately 9.0% in the comparable quarter, while PAT rose 12.6% to ₹216.40 crore.
- Finance costs declined 12.0% YoY to ₹173.54 crore, providing support below operating profit.
- Construction segment result increased to ₹347.22 crore from ₹337.02 crore YoY, remaining the principal earnings engine.
- Order inflow of ₹3887 crore and an order book disclosed at ₹81,214 crore provide execution visibility.
Key concerns
- Consolidated gross margin compressed approximately 240bps YoY to 66.5% as raw materials increased to 33.5% of revenue; the filing does not identify the cause.
- Real-estate segment remained loss-making at ₹42.23 crore despite ₹52.54 crore of revenue, continuing to dilute construction-led earnings.
- Standalone PAT declined 1.4% YoY to ₹187.31 crore despite 12.2% revenue growth, indicating that the consolidated improvement depends partly on subsidiaries and other group entities.
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