Ceigall India Limited, a prominent infrastructure company, has reported a robust performance for the first quarter, with significant developments across its business segments.

Financial Performance

Ceigall India's standalone revenue from operations, excluding bonus and royalty, reached Rs 8,183.00 million in Q1, marking an 8.7% increase from Rs 7,530.00 million in the corresponding quarter of the previous year. The company's EBITDA stood at Rs 935.00 million, reflecting a margin of 11.42%, while profit after tax came in at Rs 559.00 million with a PAT margin of 6.83%.

Order Book and Project Updates

As of June 30, Ceigall India's order book stood at Rs 103,374.00 million, comprising a diverse mix of projects:

The company has made significant progress on several fronts:

• Both Ayodhya projects (Southern and Northern), valued at Rs 23,160.00 million, have commenced.
• The company has infused Rs 4,198.41 million equity into HAM projects up to June, with an additional Rs 872.00 crores pending infusion.
• Positive developments are expected for VRK 11 and 12 projects, with Stage 1 clearance anticipated soon.

Entry into Transmission and Distribution Sector

In a strategic move, Ceigall India has entered the transmission and distribution (T&D) sector. The company emerged as the L1 bidder for the Velgaon 400 kV substation project worth Rs 4,900.00 million. This marks a significant step in diversifying the company's portfolio and expanding its presence in emerging infrastructure segments.

Project Terminations and Legal Developments

The Bhubaneswar Metro project was terminated by Delhi Metro in July. Ceigall India had already spent close to Rs 30.00 crores on this project and is in the process of submitting claims.

On the legal front, the company received favorable rulings in two cases:

1. An arbitral award of Rs 19.36 crores plus future interest in a matter with the Himachal Pradesh Works Department.
2. An alternative reward of approximately Rs 3.17 crores with applicable interest in an ongoing matter with Punjab Small-scale Industry and Export Corporation.

Management Commentary

Ramneek Sehgal, Chairman and Managing Director of Ceigall India Limited, commented on the results during the earnings call: "We maintained stable momentum in Q1, supported by the diversified mix of EPC and HAM projects. In line with our long-term strategy, we continue to expand our portfolio across segments and geographies."

He added, "Our entry into the T&D sector with the Velgaon project win is a clear sign of our ability to diversify and compete strongly in emerging sectors."

Outlook

Ceigall India maintains its revenue growth guidance of 10-15% and EBITDA margin guidance of 11-11.5% for pure EPC business. The company is targeting Rs 5,000.00 crores in new order inflows for the fiscal year.

With a strong order book, entry into new sectors, and ongoing project executions, Ceigall India appears well-positioned to capitalize on the growing infrastructure opportunities in India.

In a significant development for Ceigall India , the Delhi High Court has overturned a decision by the National Highways Authority of India (NHAI) that previously barred the company from bidding for the Sambalpur Bypass Project in Odisha. This ruling marks a pivotal moment for the infrastructure firm, opening doors for its participation in a key highway project.

Court Ruling Details

The Delhi High Court's decision allows Ceigall India to re-enter the bidding process for the Sambalpur Bypass Project. This overturning of the NHAI's earlier stance could potentially expand Ceigall's project portfolio in the infrastructure sector, particularly in highway development.

Implications for Ceigall

This legal victory could have several positive implications for Ceigall India:

1. Project Opportunity: The ability to bid for the Sambalpur Bypass Project presents a significant opportunity for the company to expand its operations in Odisha.
2. Competitive Position: The court's decision reinforces Ceigall's right to participate in major infrastructure projects, potentially strengthening its position in the industry.
3. Financial Prospects: If successful in securing the project, it could contribute to the company's future revenue streams and overall financial health.

Company Leadership

As per the latest corporate filing, Ceigall India's key management personnel include:

These executives are authorized to determine the materiality of events or information and make necessary disclosures to the Stock Exchanges, as required by SEBI regulations.

Looking Ahead

The outcome of the Sambalpur Bypass Project bidding process will be closely watched by investors and industry observers. It remains to be seen how this development will impact Ceigall India's project pipeline and its strategic positioning in the infrastructure sector.

Investors and stakeholders are advised to keep an eye on further announcements from the company regarding the bidding process and potential project acquisition.