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.

Highway Infrastructure Limited reported a 166% year-on-year surge in standalone revenue from operations to ₹3,021.13 million for the quarter ended June 30, 2026, driven primarily by its Toll Division. Despite the strong top-line growth, standalone net profit after tax (PAT) contracted sharply by 85% to ₹10.73 million, as operating costs rose disproportionately to sales. The company attributed the margin compression to lower traffic volumes at the Moti Naroli and other toll projects, where geopolitical developments and global trade disruptions affected freight movement through port-linked corridors.

The Board of Directors approved the unaudited financial results at a meeting held on August 11, 2026, in Indore. The results were reviewed by the Audit Committee and subjected to a limited review by statutory auditors Anil Kamal Garg & Company, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company also confirmed that all proceeds from its Initial Public Offering (IPO) have been fully utilized, with no balance remaining in the monitoring account as of June 30, 2026.

Segment Performance and Cost Dynamics

Consolidated revenue from operations jumped 171% YoY to ₹3,032.82 million. The Toll Division was the key growth engine, generating ₹2,739.45 million in revenue, up from ₹913.47 million in Q1FY26. The Work Contract Division contributed ₹278.58 million, while the Real Estate Division added ₹14.79 million. Total income for the consolidated entity stood at ₹304.3 crore.

However, total expenses rose to ₹3,021.41 million (standalone), up from ₹1,049.67 million in the same period last year. Operating costs alone accounted for ₹2,979.01 million, a 191% increase YoY, outpacing revenue growth. Finance costs also increased 46% YoY to ₹25.75 million. Consequently, the profit before tax stood at ₹15.53 million, down from ₹97.03 million in Q1FY26. Consolidated EBITDA fell to ₹4.8 crore from ₹12.0 crore in the prior year, with EBITDA margins contracting to 1.6% from 10.7%.

Order Book and Business Outlook

The company reported an order book of ₹789 crore as on June 30, 2026, providing revenue visibility. This comprised ₹282 crore from Tollway Collection and ₹507 crore from EPC Infrastructure. In July 2026, the company secured a new Tollway Collection contract worth ₹28.7 crore. The EPC division continues to actively pursue opportunities with an H1/L1 pipeline of approximately ₹64 crore.

While restrictions on participation in certain National Highways Authority of India (NHAI) projects impacted new order additions during the quarter, management emphasized strong execution momentum across existing projects. The commencement of construction at the Beverly Hills project marks a significant milestone for the EPC business, strengthening revenue visibility from the private segment.

IPO Utilization and Compliance

The company’s statutory auditors certified that the entire net proceeds of ₹828.84 million from the IPO have been fully deployed. The funds were utilized for working capital requirements in EPC and Toll divisions, as well as General Corporate Purposes (GCP). Infomerics Valuation and Rating Limited, the Monitoring Agency, reported no deviations from the objects stated in the offer document. The management had previously noted a delay in utilization due to operational reasons but confirmed complete deployment by the end of Q1FY27.

What the Numbers Show

The divergence between revenue growth and profit contraction highlights significant margin pressure. While the Toll Division saw a 200% revenue increase, operating costs grew at a faster rate of 191%, indicating that higher throughput did not translate into proportional efficiency gains. The drop in EBITDA margin from 10.7% to 1.6% underscores the impact of fixed cost under-recovery during periods of low traffic volume. This suggests that variable costs associated with toll operations or EPC projects may have risen faster than pricing power allowed, squeezing the bottom line despite robust top-line expansion.