DMR Engineering Limited has secured an international work order for engineering consultancy services related to the 570MW Wangchhu Hydropower Project located in Bhutan. The order was disclosed to the BSE SME Platform on May 11, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Work Order Details

The work order has been awarded by Wangchhu Hydroelectric Power Limited, Bhutan, an international entity. The scope of work covers consulting services for the design and engineering of the diversion tunnel and its ancillary works for the 570MW hydropower project. The following table summarises the key parameters of the order as disclosed:

Regulatory Disclosure

The intimation was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Circular SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. The company confirmed that the order does not constitute a related party transaction and that no promoter, promoter group, or group company holds any interest in the awarding entity, Wangchhu Hydroelectric Power Limited. The disclosure was signed by Ravinder Kumar Bhatia, Company Secretary and Compliance Officer of DMR Engineering Limited (formerly DMR Hydroengineering & Infrastructures Limited), on May 11, 2026.

The Board of Directors of DMR Engineering Limited (formerly DMR Hydroengineering & Infrastructures Limited) met on May 9, 2026, to consider and approve a range of significant matters, including the standalone and consolidated audited financial results for the half year and financial year ended March 31, 2026. The company subsequently issued a press release titled "Business Performance Update for FY 25-26" pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The board meeting commenced at 02:00 p.m. (IST) and concluded at 03:00 p.m. (IST), with statutory auditors M/S A Y & Company, Chartered Accountants, issuing unmodified opinions on both standalone and consolidated financial results.

Standalone Financial Performance

DMR Engineering operates solely in the Engineering Consultancy Services segment on a standalone basis. On a standalone basis, revenue from operations decreased by 2.01% year-over-year to ₹1025.80 lakhs, while profit after tax declined 43.94% year-over-year to ₹95.63 lakhs, reflecting a profit after tax margin of 9.05%. Earnings per share stood at ₹0.92, decreasing by 44.71% year-over-year. The standalone financial results for the full year and second half year ended March 31, 2026 are presented below.

Employee benefit expenses rose to Rs. 392.01 lakhs from Rs. 356.00 lakhs, while finance costs increased to Rs. 37.61 lakhs from Rs. 5.29 lakhs. The second half of FY26 recorded a standalone net loss of Rs. 37.96 lakhs, against a profit of Rs. 96.06 lakhs in the corresponding period of the previous year.

Consolidated Financial Performance

The consolidated results encompass DMR Engineering Limited (holding company), along with DMR Consulting USA Inc (wholly owned subsidiary), DM Consulting Engineers Pvt. Ltd. (subsidiary), and DM Gates & Penstocks Pvt. Ltd. (associate). On a consolidated basis, revenue from operations increased by 8.98% year-over-year to ₹1254.37 lakhs, with profit after tax declining 23.92% year-over-year to ₹139.87 lakhs, reflecting a profit after tax margin of 10.87%. Earnings per share stood at ₹1.35, decreasing by 24.96% year-over-year. Subsidiaries' financials reflect total assets of Rs. 260.25 lakhs as at March 31, 2026, total revenue of Rs. 283.90 lakhs, and total net profit after tax of Rs. 72.51 lakhs for the year ended March 31, 2026.

Total consolidated expenses for FY26 were Rs. 1058.40 lakhs versus Rs. 925.66 lakhs in the prior year. The second half of FY26 recorded a consolidated net loss of Rs. 41.18 lakhs.

Balance Sheet Highlights

The standalone balance sheet as on March 31, 2026 shows total assets of Rs. 1,459.78 lakhs, compared to Rs. 1,463.78 lakhs as on March 31, 2025. Shareholders' funds stood at Rs. 1,287.06 lakhs (FY25: Rs. 1,195.78 lakhs), with share capital at Rs. 1,039.29 lakhs and reserves and surplus at Rs. 247.77 lakhs. On the consolidated basis, total assets increased to Rs. 1,622.49 lakhs from Rs. 1,555.05 lakhs as on March 31, 2025.

Management Commentary

The management attributed the decline in profitability to two specific one-off factors: provisioning made on account of bad debts, and financing charges (CGTMSE fee) for both FY 24-25 and FY 25-26 being booked in FY 25-26. The company's foray into geophysical studies through its subsidiary DM Consulting Engineers Pvt. Ltd. has shown good progress, with the subsidiary registering revenues of ₹282.01 lakhs and profit after tax of ₹70.75 lakhs during FY25-26. Management noted that DMR Engineering has made considerable progress in focusing on high-quality assignments and clients in the geographies of Bhutan and South East Asia, which is expected to improve business margins and focus on high-impact assignments. The company has also selectively pursued EPC opportunities in India, leveraging its deep experience in engineering and construction management, and continues to invest in hiring and retaining high-quality engineering talent.

Dividend Recommendation

The board has recommended a final dividend of Rs. 0.14 per equity share for the financial year ended March 31, 2026, subject to shareholder approval at the forthcoming 17th Annual General Meeting. Upon such approval, the dividend will be paid within 30 days from the date of approval.

Board Appointments and Governance Changes

The board approved several key governance decisions at its May 9, 2026 meeting, including the appointment of two new Executive Directors and an Internal Auditor, alongside the retirement of a Non-executive Director. The following table summarises the key decisions taken:

Profile: Mr. Divay Mittal — Executive Director (5-Year Term)

Mr. Divay Mittal holds a Bachelor of Technology in Electrical Engineering from the National Institute of Technology, Kurukshetra, India, and an MBA from Vanderbilt University, Nashville, Tennessee, United States. He has 15 years of professional experience in consulting, finance, and banking services, having previously worked with PricewaterhouseCoopers (PwC) as a Senior Consultant in the New York office and subsequently as a Manager in the India office. Prior to his board appointment, Mr. Mittal served as Executive Vice President and Key Managerial Personnel at DMR Engineering since February 01, 2024, contributing to business development and client relationships across India and South East Asia, as well as the company's overall strategy and direction. Mr. Divay Mittal is the son of Mr. Subhash Chander Mittal, Chairman and Managing Director of the Company. He is not debarred from holding the office of director by virtue of any SEBI order or any other such authority.

Profile: Mr. Arvind Bhat — Executive Director (2-Year Term)

Mr. Arvind Bhat holds a BE (Electrical) degree from the National Institute of Technology, Durgapur, and brings more than 40 years of experience in the hydropower sector. He is a seasoned professional in electrical engineering, with expertise spanning electromechanical design, construction, operation, and maintenance. Mr. Bhat worked with NHPC, a listed public sector company, for 36 years in various positions, retiring from the post of Executive Director. During his tenure at NHPC, he was associated with the engineering of Sewa-II, Uri-II, Omkareshwar, Nimmo Bazgo, Chutak, and Kishenganga Power Stations, and served as Head of the 390 MW Dulhasti Power Station. He was also a Director of National High Power Testing Lab, a joint venture of NHPC, Powergrid, NTPC, CPRI, and DVC, and worked at the 2000 MW Subansiri HE project during its pre-construction and construction period. Post-retirement, he has been associated as an independent consultant to CBIP and WAPCOS. Mr. Arvind Bhat is not debarred from holding the office of director by virtue of any SEBI order or any other such authority.

Profile: Mr. Nakul Yadav — Internal Auditor

Mr. Nakul Yadav holds an MBA in Technology Management from Narsee Monjee Institute of Management Studies, Mumbai, and has close to 5 years of experience in business development across the cybersecurity, SaaS, industrial automation, and renewable energy sectors. He has been appointed as Internal Auditor for financial years 2026-27 and 2027-28, with effect from May 9, 2026.

The revised filing specifically clarifies that the Board did not recommend the re-appointment of Mr. Krishan Kumar Gupta and that he retired from the position of Non-executive Director with effect from May 9, 2026. The company noted there were no investor complaints received or pending as on March 31, 2026, and that previous period figures have been regrouped or reclassified wherever necessary.

About DMR Engineering

DMR Engineering provides engineering consultancy services from concept-to-commissioning in sectors such as hydropower (including small hydro, large hydro and PSP), dams, renewable energy, tunnels and related sectors. The consulting services of the company are focused on building innovative solutions to address the needs of clients, including EPC agencies, PSU clients, IPP clients, and other consultants.