Highway Infrastructure posted a 170.6% year-on-year revenue surge to ₹304.3 crore for the quarter ended June 30, 2026. However, profitability contracted as EBITDA fell to ₹4.8 crore and net profit dropped to ₹1.1 crore, weighed down by temporary tolling disruptions.

The company attributed the margin pressure to lower traffic volumes at the Moti Naroli toll project due to geopolitical developments and global trade disruptions. Management noted that these factors were temporary and localized to the first quarter, with traffic trends showing signs of recovery in July 2026.

Financial Performance

Revenue growth was driven by steady execution across its diversified verticals, including engineering, procurement, and construction (EPC), tollway collection, and real estate. The consolidated order book stood at approximately ₹778 crore as of June 30, 2026, providing visibility for future execution.

Order Book and Pipeline

Management highlighted a healthy bidding pipeline and recent wins in the toll segment. In July 2026, the company secured a new tollway collection contract valued at approximately ₹28.7 crore for the Kozhinjipatti toll plaza in Tamil Nadu. It also received a letter of acceptance for operations at a fee plaza on NH-44 with a contract value of approximately ₹80 crore.

Saurabh Mittal, Joint Chief Financial Officer, stated that including recent wins, the total work order stands at ₹900 crore, with EPC comprising nearly ₹500 crore. The company targets a turnover of ₹850 crore for FY27, with ₹700 crore expected from the toll segment.

What the Numbers Show

The divergence between the 170.6% revenue growth and the sharp contraction in profitability highlights the sensitivity of the tolling business to external shocks. While top-line expansion suggests robust order conversion or higher throughput in other segments, the low EBITDA of ₹4.8 crore indicates that the toll segment’s contribution to margins was severely impacted by the temporary traffic drop. This structural vulnerability underscores management’s stated strategy to diversify geographically into states like Tamil Nadu and Andhra Pradesh to hedge against regional risks.

Strategic Outlook

Riddharth Jain, Director and Chief Executive Officer, emphasized a shift toward technology integration to improve efficiency and reduce manpower costs. The company is focusing on leveraging data analytics and AI to manage pan-India projects from a central location.

In the EPC segment, the Beverly Hills project, valued at approximately ₹70 crore, commenced execution this quarter. Management expects this project to contribute around 40-45% of EPC revenue over the next 15 to 16 months. The company aims to increase its pre-qualification (PQ) to bid for larger tenders independently or through joint ventures.

Highway Infrastructure Limited has made the audio recording of its post-results earnings conference call available to investors. The call discussed the unaudited financial results for the quarter ended June 30, 2026, and was hosted on August 18, 2026.

The disclosure was made pursuant to Regulation 30 and Regulation 46 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. It references a prior intimation dated August 13, 2026.

Call Access Details

Investors can access the recording via the company’s official website. The specific link is provided in the intimation letter addressed to the listing departments of BSE Limited and National Stock Exchange of India Ltd.

Palak Rathore, Company Secretary and Compliance Officer, signed the disclosure on behalf of the company.