KNR Constructions Limited has released the transcript of its earnings call for the fourth quarter of the financial year 2025-26, held on June 1, 2026. The company reported a consolidated net profit of ₹437 crore for FY26, with revenue for the year standing at ₹2,698 crore. The order book as of March 31, 2026, stands at ₹11,903 crore, including recently won HAM projects, providing visibility for the next three to three and a half years.

Financial Performance

The company delivered a strong financial performance for the year. On a consolidated basis, revenue for FY26 stood at ₹2,698 crore, while EBITDA was ₹711 crore, reflecting an EBITDA margin of 26.4%. For the fourth quarter, revenue was ₹696 crore with an EBITDA of ₹169 crore and a margin of 24.3%. The net profit for Q4 FY26 was ₹106 crore.

On a standalone basis, revenue for FY26 was ₹2,097 crore, with an EBITDA of ₹178 crore and a net profit of ₹116 crore. The working capital days improved to 78 days as of March 31, 2026, compared to 93 days in the previous year.

Order Book and New Orders

The total order book as of March 31, 2026, stands at ₹11,903 crore, including two recently awarded HAM projects worth a combined ₹3,897 crore. The order book composition includes 49% roads, 14% irrigation, 7% pipeline, and 30% mining projects. The company is targeting an order inflow of ₹8,000 crore to ₹10,000 crore in FY27.

During the quarter, the company received a letter of award for two HAM projects. The first, awarded by Tamil Nadu State Highway Authority, involves the development of a corridor from Thiruvanniyur to Uthandi with a project value of ₹2,163 crore. The second, awarded by NHAI, is for the laning of NH-167 from Gudebellur to Mahabubnagar in Telangana, valued at ₹1,734 crore. The company also received letters of acceptance for two EPC projects worth ₹133 crore from the Greater Hyderabad Municipal Corporation and Hyderabad Growth Corridor.

Operational Updates

The company has successfully monetized one of its subsidiary companies, KNR Palani Infra Private Limited, transferring its entire equity stake to Indus Infra Trust. The company received a consideration of ₹205.05 crore, and the SPV upstreamed ₹90 crore of cash surplus. Regarding the Kaleshwaram Package 4 irrigation project, the management indicated that outstanding dues of approximately ₹670 crore are pending, but they expect resolution within the next two months following discussions with the Finance Minister.

The consolidated debt as of March 31, 2026, stood at ₹2,438 crore, compared to ₹1,847 crore in the previous year. The net debt-to-equity ratio on a consolidated basis was 0.49x. The company is targeting a revenue of over ₹3,000 crore in FY28.

KNR Constructions has secured a significant coal mining contract worth Rs 3,361.11 crores from South Eastern Coalfields Limited. The Letter of Acceptance was awarded to the joint venture M/s KNR - SIML (JV), comprising KNR Constructions Ltd with a 51% stake and Sushee Infra & Mining Limited holding 49%. The project is located at Kasmunda Open Cast Project (OCP) in the State of Chhattisgarh and is set to be executed on an Item Rate basis for a duration of 2,920 days.

Scope of Work

The awarded contract encompasses a comprehensive range of mining activities categorized into specific jobs. The total overburden material quantity to be handled is 258.15 million cubic meters (Mcum), with a minimum quantity per day (QPD) of 88,410.

Job 1: Excavation and Haulage

The initial phase involves the hiring of Heavy Earth Moving Machinery (HEEM) such as excavators, tippers, dozers, and motor-graders.

• Job 1.(A): Focuses on soft soil excavation without drilling. This involves handling 11.97 Mcum of material above coal seams D, E&F, UK, LK, and LK(B).
• Job 1.(B): Targets hard strata requiring drilling. This segment covers 246.19 Mcum of overburden and inter-burden parting between different seams.

Job 2: Coal Extraction

The second job requires the deployment of surface miners with inbuilt water spraying arrangements for dust suppression. This involves the mechanical excavation of coal and coal measure strata at the Kusmunda Open Cast Project. The extraction target is 142.89 million tonnes (Te) of coal, with a minimum tonnage per day (TPD) of 48,934.

Job 3: Loading and Transportation

The final phase of the contract pertains to the logistics of the extracted coal.

• Job 3.(A): Involves the hiring of pay loaders for mechanical loading of coal into tippers at various coal faces.
• Job 3.(B): Covers the hiring of tippers for transporting coal from the faces to designated points such as TRS-1, TRS-2, surface stock-heaps, and railway sidings.

Regulatory Compliance

Pursuant to the KNRCL Code of Conduct for Prevention of Insider Trading, the company announced that the trading window for dealing in its securities will remain closed. This restriction applies to all Directors, Officers, and Designated employees and is effective from June 8, 2026, to June 9, 2026 (both days inclusive).