M&B Engineering revises cash flow classification for FY26
M&B Engineering revised its investor presentation for FY26 to clarify the classification of funds used for bank fixed deposits earmarked for IPO objects. The reclassification of ₹120.81 crore from operating to investing activities shifted the net cash flow from operating activities to a positive ₹89.93 crore. The company reported a 27.4% increase in revenue to ₹1,259.72 crore and a 20.2% rise in Profit After Tax to ₹92.64 crore for the year.

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M&B Engineering has revised its investor presentation for the quarter and financial year ended March 31, 2026, to provide a clarification regarding its Cash Flow Statement. The company adjusted the classification of funds used for bank fixed deposits earmarked for IPO objects, which were initially recorded under operating activities. This correction shifts the Net Cash Flow from Operating Activities for FY26 from a negative ₹30.88 crore to a positive ₹89.93 crore.
The company stated that the usage of funds amounting to ₹120.81 crore for bank fixed deposits was shown as funded from operating activities in the audited annual accounts. As these funds were collected from the proceeds of the IPO and not from regular cash generated by operating activities, an adjustment was made to move the amount from operating activities to investing activities. Consequently, the Net Cash Flow from Investing Activities for FY26 was revised to ₹160.06 crore outflow, compared to the previously reported ₹39.25 crore.
The revised presentation, submitted to exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, confirms that the total cash and cash equivalents at the close of the period remained unchanged at ₹95.76 crore. The company reported revenue from operations of ₹1,259.72 crore for FY26, a 27.4% increase from the previous year, while Profit After Tax stood at ₹92.64 crore.
Financial Performance for FY26
The company delivered its highest revenue for the full year, driven by a 28% year-on-year increase in order inflows to ₹1,539 crore. The unexecuted order book as of March 31, 2026, stood at ₹1,083 crore, representing a 35% year-on-year growth. The Phenix division accounted for 80% of the order book, while the Proflex division accounted for the remaining 20%.
| Metric | FY26 | FY25 | YoY Change |
|---|---|---|---|
| Revenue from Operations (₹ Cr) | 1,259.72 | 988.55 | 27.4% |
| EBITDA (₹ Cr) | 157.19 | 134.71 | 16.69% |
| Profit After Tax (₹ Cr) | 92.64 | 77.05 | 20.2% |
| Net Cash Flow from Operating Activities (₹ Cr) | 89.93 | 33.20 | - |
Operational Highlights
During Q4FY26, the company secured order inflows of ₹387 crore, a 10% year-on-year increase. The management attributed the performance to strong bid conversion and sustained demand visibility across geographies including the US, Canada, Brazil, and South Africa. Capital expenditure for FY26 amounted to ₹33 crore, directed towards capacity augmentation and operational strengthening.
Historical Stock Returns for M & B Engineering
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -2.09% | -6.75% | -14.54% | -25.25% | -30.55% | -30.55% |
How will the reclassification of cash flows impact analyst valuations and investor perception of M&B Engineering's operational efficiency?
Given the 35% growth in the unexecuted order book, what is the company's strategy for scaling capacity to meet this increased demand?
With the Phenix division comprising 80% of the order book, what are the growth prospects and diversification plans for the Proflex division?


































