Hindustan Construction Company reported a standalone net profit of ₹205.81 crore in FY26, a 142% year-on-year increase from ₹84.92 crore in FY25. The results were approved by the Board of Directors on May 14, 2026, and subsequently published in newspapers — Business Standard (English) and Sakal (Marathi) — on May 15, 2026, pursuant to Regulations 47 and 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Pursuant to Regulation 30 read with Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company has also made available the transcript of the analyst/institutional investor presentation held on May 14, 2026, on its website. The audited results reflect continued deleveraging, with total debt reducing by 38% to ₹1,995 crore from ₹3,197 crore in the previous year. The company's standalone order book stood at ₹12,971 crore as of March 31, 2026, and the company has set a target order booking of approximately ₹15,000 crore for FY27.

Standalone Financial Performance

Standalone revenue from operations for FY26 was ₹3,937.25 crore, compared to ₹4,801.05 crore in FY25. For Q4 FY26, revenue stood at ₹988.71 crore versus ₹1,330.24 crore in Q4 FY25. The standalone EBITDA margin for Q4 FY26 was 18.2%, while the annual margin was 16.1%. Net profit for Q4 FY26 was ₹44.63 crore, down from ₹228.38 crore in the corresponding prior period.

Consolidated Financial Performance

On a consolidated basis, net profit for FY26 rose to ₹165.52 crore from ₹112.63 crore in FY25. Consolidated revenue from operations for the year was ₹3,969.59 crore versus ₹5,603.37 crore in the previous year. For Q4 FY26, consolidated net profit stood at ₹58.94 crore compared to ₹90.08 crore in Q4 FY25. The consolidated EBITDA margin for Q4 FY26 was 17.23% against 31.15% in Q4 FY25.

Balance Sheet and Deleveraging

HCC completed an oversubscribed rights issue of ₹1,000 crore during FY26, allotting 799,991,900 equity shares at ₹12.50 per share. Proceeds of ₹999.99 crore were raised, with ₹995.52 crore utilised as of March 31, 2026, primarily for loan repayment of ₹625.00 crore. Consequently, total debt decreased from ₹3,197 crore to ₹1,995 crore. Total equity increased to ₹3,086.68 crore, and the debt-equity ratio improved to 0.27 times from 0.79 times. The company noted that the full impact of debt reduction is not reflected in FY26, with a pro forma annual interest reduction of ₹112 crore expected to reflect in FY27, as focus on complete deleveraging continues with further debt prepayments planned.

Order Book and Pipeline

The company secured new orders worth ₹4,554 crore during FY26, with total order booking for the year reaching ₹5,654 crore, including approximately ₹1,100 crore of Letter of Award received in April 2026. Subsequent to the year-end, HCC achieved the L1 position for a project valued at ₹840 crore. The order book of ₹12,971 crore is diversified across business lines and geographies, as detailed below.

The company also reported a robust bid pipeline, with bids under evaluation of approximately ₹25,760 crore and bid submissions planned for Q1 FY27 of approximately ₹43,800 crore.

Infrastructure Sector Outlook

HCC's investor presentation highlighted significant upcoming opportunities across its core segments. In the hydro and pumped storage plant (PSP) space, tenders for 8 GW out of 15 GW planned are already under tendering, with the installed hydro and PSP market expected to grow from 57 GW in FY25 to 167 GW by FY35 at a CAGR of 11%. Upcoming hydro projects identified include Etalin (3,064 MW) valued at ₹10,500 crore and Kamala (1,800 MW) at ₹8,738 crore, among others, with a combined hydro pipeline of ₹39,167 crore. The PSP pipeline totals ₹23,300 crore, including projects such as Shirawata (1,800 MW) at ₹6,500 crore and Kandhaura (1,680 MW) at ₹6,000 crore.

In transportation, approximately ₹25,000 crore has been budgeted for metros in FY27, with a national ambition of approximately 5,000 km by 2047. The identified metro pipeline across 12 cities totals 840 km and ₹1,32,356 crore. In the nuclear segment, India aims to scale capacity from 9 GW currently to 100 GW by 2047, with the government inviting approximately $26 bn (~₹2.1 lakh crore) in private EPC participation. In buildings and industrial, a combined capex investment of over ₹3 lakh crore is targeted by 2030 across steel, copper, and aluminium/bauxite capacity expansion.

Management Commentary

Commenting on the results, Mr. Arjun Dhawan, Vice Chairman & Managing Director, HCC, said: "With HCC completing 100 years of service in FY26, we enter our next century on a firmer financial foundation and with renewed purpose. India's infrastructure ambitions today are both necessary and transformative. Our experience over a century reinforces that enduring infrastructure requires rigorous planning, engineering excellence and a long-term commitment to public value. As we look ahead, HCC remains committed to nation building that strengthens economic resilience and improves everyday life."

Auditor's Qualified Opinion

The auditors issued a qualified opinion on the standalone and consolidated results. The qualifications relate to the carrying value of the investment in HCC Infrastructure Company Limited (₹1,152.77 crore) and net deferred tax assets (₹173.91 crore), where sufficient audit evidence could not be obtained. Management stated the impact of these qualifications is not ascertainable.

Hindustan Construction Company Limited has secured a significant water infrastructure contract valued at ₹2,917.6 crore from City and Industrial Development Corporation of Maharashtra Limited (CIDCO) through the LCESPL-HCC Joint Venture. The company announced this major contract win through a regulatory filing under Regulation 30 on April 24, 2026.

Project Specifications and Scope

The comprehensive project involves the design and construction of a 22.21 km long raw water tunnel using advanced Tunnel Boring Machine (TBM) technology. The tunnel will convey water from Kondhane Dam at Village Chochi in Karjat to a proposed 250 MLD Water Treatment Plant at Village Mohope in Panvel.

Contract Structure and Execution

Under the joint venture arrangement, HCC will be responsible for executing works valued at approximately ₹1,100 crore, representing a significant portion of the total project value. The scope extends beyond construction to include design, build, supply, erection, testing and commissioning of the water treatment plant, along with 15 years of comprehensive operation and maintenance under a Design, Build and Operate (DBO) contract model.

Strategic Infrastructure Development

This project forms a crucial component of CIDCO's strategy to strengthen long-term water supply infrastructure for the rapidly developing nodes of Navi Mumbai and surrounding areas. The initiative ensures reliable and sustainable water availability to support urban and industrial growth in the region.

Company's Infrastructure Legacy

With an engineering heritage spanning nearly 100 years, HCC has established itself as a leader in India's infrastructure development. The company has executed a majority of India's landmark infrastructure projects, including 26% of India's Hydro Power generation capacity, 60% of Nuclear Power generation capacities, over 4,036 lane km of Expressways and Highways, more than 402 km of complex tunnelling, and 403 bridges across the Transportation, Power and Water sectors.