Dhruv Consultancy has secured a new work order valued at Rs 3.79 crore from the Government of Maharashtra Executive Engineer Office Public Works Department, Panvel (Bhingari). The contract involves appointment as a consultant for the preparation of a Detailed Project Report cum Feasibility Study, Survey, and Preparation of Land Plan including social environmental and CCA mitigation study.

The scope covers widening to two lanes with paved shoulders to various roads as per packages in Enclosure IV of TOR in the State of Maharashtra with financial aid of Multilateral Development Bank (Under EPC Mode) (Package No. DPR-7). The project spans the Nanded, Latur, and Parbhani districts with a length of 249.20Km. The time period for completion is 365 Days. This order was disclosed to the exchange on 21.09.2026.

Order In Financial Context

The Rs 3.79 crore order value contributes to the company's total disclosed order book, which stands at Rs 491.22 crore across 18 orders in the last three fiscal quarters. This backlog represents extensive coverage of 51.17 quarters of average quarterly revenue, suggesting that execution capacity rather than order acquisition is the primary constraint on near-term growth.

The book-to-bill ratio remains elevated, reflecting a period of aggressive order accumulation. For investors, the key metric to track is the rate at which this large backlog converts into recognized revenue, particularly given the company's recent profitability challenges.

Company Order Track Record

Order inflow velocity has been substantial in recent quarters. In Q1FY27, the company reported a total order inflow of Rs 450.30 crore across 17 distinct awards. In Q2FY27, the inflow was Rs 40.92 crore. The new award from the Maharashtra PWD indicates continued engagement with state government entities, alongside clients like Odisha Bridge & Construction Corporation Limited (Obcc).

The current order value of Rs 3.79 crore is consistent with other consultancy contracts visible in the recent history, such as previous awards from NHAI for elevated corridor construction and maintenance supervision.

Execution And Revenue Quality

Despite the strong order book, the company has faced significant headwinds in profitability over the last three quarters. Revenue declined from Rs 8.60 crore in Q4FY26 to Rs -5.50 crore in Q3FY26, before recovering slightly to Rs 15.90 crore in Q1FY27. However, net losses persisted throughout this period, with a notable loss of Rs 31.00 crore in Q3FY26.

The negative Operating Profit Margin (OPM) in Q1FY27 and Q4FY26 signals execution stress or one-time costs impacting the bottom line. The anomalous positive OPM in Q3FY26 coincides with negative revenue, likely due to accounting treatments for provisions or reversals that do not reflect operational cash generation.

Revenue Growth - Order Wins Translating To Revenue

As Dhruv Consultancy has sustained order wins, with a massive Rs 450.30 crore inflow in Q1FY27 alone, its annual revenue has declined from Rs 103.50 crore in FY25 to Rs 44.00 crore in FY26, representing a YoY growth of -57.5% based on the latest annual data. This divergence between order inflow and realized revenue highlights potential delays in project commencement or recognition cycles, warranting close monitoring of the conversion efficiency.

Working Capital And Execution Capacity

The balance sheet shows a current ratio of 2.28x, indicating adequate short-term liquidity to manage immediate obligations. The Total Liabilities/Equity ratio stands at 0.64x, which is manageable and suggests the company is not overly leveraged. However, operating cashflow was negative at Rs -3.40 crore in FY26, indicating that the business model is currently consuming cash rather than generating it. Monitoring whether new order inflows can reverse this trend and improve free cashflow generation in the coming quarters is important.

What To Watch

• Execution rate: With a backlog covering nearly 12.79 years of annual revenue at current run-rate, the pace of revenue recognition is critical. Watch for acceleration in quarterly revenue vs the total backlog.
• OPM trajectory: Recent quarters show negative margins. Monitor if the new Maharashtra PWD order and other backlogs execute at healthier margins compared to the historical average.
• Cash conversion: Negative operating cashflows in FY26 suggest working capital strain. Improvement in cash conversion will be a key validation of earnings quality.
• Client concentration: Assess if the top few clients (NHAI, Railways, State PWDs) dominate the revenue mix, which could introduce concentration risk if payment cycles delay.

Key Observations

• Margin stress: Net loss of Rs 4.80 crore in Q1FY27; execution stress visible in quarterly data with negative OPM.
• Backlog signal: Order book coverage of 51.17 quarters. At this level, execution capacity becomes the binding constraint.
• Cash conversion: Operating cashflow of -Rs 3.40 crore in FY26; backlog is not converting to cash efficiently, and receivables or working capital cycle may be stretched.

Dhruv Consultancy Services Limited has dispatched a weblink providing access to its integrated annual report for FY26. The communication targets shareholders who have not registered email addresses with the company, registrar, or depository participants.

Regulatory Compliance

The dispatch is made pursuant to Regulation 30 and Regulation 36(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The letter includes the exact path to access the report on the company’s website, www.dhruvconsultancy.in .

AGM Details

The company scheduled its 23rd Annual General Meeting for Thursday, September 24, 2026, at 11:30 am. The meeting will be conducted through Video Conferencing or Other Audio Visual Means.

KYC and Demat Updates

The notice serves as a reminder for security holders holding physical securities to update their KYC details. This requirement stems from SEBI Master Circular No. SEBI/HO/MIRSD/POD-1/P/CIR/2024/37 dated May 7, 2024. The circular mandates recording PAN, address with PIN code, mobile number, bank account details, specimen signature, and choice of nomination.

Shareholders with physical folios lacking updated PAN, nomination, contact details, bank account details, or specimen signatures are eligible for payments only through electronic mode effective April 1, 2024. The company encourages shareholders to register email IDs to avail online services and support green initiatives.

Key Dates and Information

The company directed all shareholder queries to its website or the designated helpdesk number. Shareholders are urged to update email addresses through depository participants or the RTA to continue receiving important documents electronically.