Sattva Engineering Construction Limited reported a 43% increase in net profit for the financial year ended March 31, 2026, rising to ₹13.1 crore from ₹9.1 crore in the previous year. Revenue from operations grew 32% to ₹143.2 crore, driven by the company's Engineering, Procurement, and Construction (EPC) business. The board approved the audited financial results for the year and half-year ended March 31, 2026, during a meeting held on May 25, 2026. The company subsequently submitted a corrigendum to the National Stock Exchange on June 1, 2026, to correct a clerical error in the Statutory Auditor's Report, where the company name was erroneously mentioned as “Sattva Engineering and Consultants Limited” instead of “Sattva Engineering Construction Limited”. The company clarified that this correction does not alter the audited financial results or the audit opinion.

The statutory auditors, Raghavan and Muralidharan, Chartered Accountants, issued an unmodified opinion on the audited financial results. The board also re-appointed M/s. Vikas Mishra & Company, Chartered Accountants, as the internal auditor for FY 2026-27. The company's earnings per share (EPS) for the year increased to ₹8.47 from ₹7.64 in the prior year.

Financial Performance for FY26

Operational Highlights and Outlook

The company's EBITDA stood at ₹22.1 crore for FY26, with margins at 15.4%, compared to 17.1% in the previous year. Sattva Engineering's order book stood at ₹323 crore as of March 2026, increasing to ₹447 crore as of May 15, 2026, with execution expected over the next 24-30 months. The company secured key projects in Tamil Nadu, including a 47 MLD Water Treatment Plant project worth ₹106.2 crore and an Odour Control System project worth ₹40.6 crore.

Management is targeting a 60% revenue CAGR through FY28, implying a 2.5x business scale-up from current levels. The company aims for sustainable EBITDA margins of 15-16% and PAT margins of 9-10% through FY27-FY28. Planned business growth is to be primarily funded through internal accruals, with incremental debt financing supported by disciplined working capital management.

Key Board Decisions

The board meeting approved the re-appointment of the internal auditor based on the Audit Committee's recommendation. M/s. Vikas Mishra & Company brings over three years of experience in statutory and internal audits, tax audits, and corporate finance. The company also submitted a declaration pursuant to Regulation 33(3)(d) of the SEBI Listing Regulations, confirming the unmodified audit opinion.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE14DW01018/516e0e22dee248fb.pdf

Sattva Engineering Construction Limited has secured two turnkey wastewater treatment infrastructure contracts from Bangalore Water Supply and Sewerage Board (BWSSB) with a combined order value of approximately ₹123.9 crore (excluding GST). The company received Letters of Acceptance (LoAs) for these projects on May 13, 2026, and submitted the press release to the exchange on May 14, 2026.

Contract Overview

The projects involve the design, construction, commissioning, and long-term operation of sewage treatment facilities in Bengaluru. The first project is located in Koramangala, while the second is situated in Basavanapura. Both contracts are domestic in nature and do not involve related party transactions. The promoter group has no interest in the awarding entity.

Key Contract Details

The following table summarises the key parameters of the awarded contracts:

Project Scope and Execution Timeline

The contract encompasses the complete design, construction, and commissioning of the sewage treatment plants, followed by an Operation and Maintenance phase. The construction phase is to be executed within 30 months for both projects, after which the company will undertake Operation and Maintenance for 7 years. The Koramangala project incorporates Integrated Fixed-Film Activated Sludge (IFAS) with Biological Nutrient Removal (BNR), while the Basavanapura project utilizes Sequential Batch Reactor (SBR) technology. Both facilities include Tertiary Treatment and odour control units.

Regulatory Disclosure

The disclosure was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The submission was signed by Laxmikanth Tangudu, Company Secretary cum Compliance Officer, on behalf of Sattva Engineering Construction Limited.