Ceigall India Limited , a prominent player in the Indian infrastructure industry, has submitted its Q2 FY2026 IPO monitoring report, revealing adherence to its stated objectives for fund utilization. The report, prepared by ICRA Limited, indicates that the company has efficiently deployed the net proceeds of INR 652.31 crore raised from its Initial Public Offering (IPO) that concluded on August 5, 2024.

Key Highlights of the Report

• No Material Deviation: The monitoring agency report confirms that there has been no material deviation from the objects disclosed in the offer document.

• Fund Utilization: As of September 30, 2025, Ceigall India Limited has utilized INR 681.52 crore out of the total allocated INR 684.41 crore, leaving a balance of INR 2.74 crore.

• Allocation Breakdown:

  • Purchase of equipment: INR 99.79 crore (100% utilized)
  • Repayment of borrowings:
    • Company: INR 384.48 crore
    • Subsidiary (Ceigall Infra Projects Private Limited): INR 28.76 crore
  • General Corporate Purposes: INR 139.28 crore (100% utilized)

Utilization of General Corporate Purposes (GCP) Funds

The company has provided a detailed breakdown of how the GCP funds were used:

It's noteworthy that the Special Purpose Vehicles (SPVs) mentioned above have utilized INR 116.97 crore and INR 24.58 crore respectively for contractual payments to the EPC contractor (Ceigall India Limited itself) for the development of HAM (Hybrid Annuity Model) projects.

Minor Reallocation

The report highlights a minor reallocation of funds, with INR 0.16 crore originally earmarked for loan repayment being redirected to General Corporate Purposes. This adjustment appears to be within acceptable limits and does not constitute a material deviation.

Implementation Timeline

All objects of the IPO fund utilization are reported to be on schedule for completion by Fiscal 2025, with no delays observed in any of the planned activities.

Unutilized Funds

The balance of INR 5.15 crore remains in the public offer account, which includes INR 2.41 crore pertaining to the unpaid portion of the Offer for Sale (OFS) proceeds.

Ceigall India Limited's adherence to its stated objectives and efficient utilization of IPO proceeds demonstrates the company's commitment to transparency and strategic growth in the infrastructure sector. Investors can take comfort in the fact that the funds are being deployed as per the plan outlined in the offer document, potentially contributing to the company's expansion and operational capabilities in the coming years.

The timely submission of this monitoring report underscores Ceigall India Limited's compliance with regulatory requirements and its dedication to keeping stakeholders informed about the use of IPO funds.

Ceigall India , a prominent player in the Indian market, has released its financial results for the first half of fiscal year 2026, revealing revenue growth amidst profitability challenges largely attributed to prolonged monsoon conditions.

Revenue Growth

Ceigall India Limited reported consolidated revenue of Rs. 16,447.00 million for H1 FY26, representing a 3.1% year-on-year increase. This growth demonstrates the company's resilience in expanding its top line despite challenging market conditions.

Profitability Metrics

Despite the revenue growth, Ceigall India faced headwinds in maintaining its profitability levels:

The company's consolidated EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) stood at Rs. 2,227.00 million for the half-year period.

Margin Compression

Ceigall India experienced significant compression in its margins. The EBITDA margin declined to 13.5% from 16.8% in the previous year, a decrease of 330 basis points. Similarly, the PAT (Profit After Tax) margin dropped to 6.5% from 9.0%, representing a 250 basis point decrease.

Factors Affecting Performance

The company attributed the margin pressure to prolonged monsoon conditions that delayed material and equipment deliveries, impacting project timelines and costs.

Order Book and Future Outlook

Ceigall's order book reached Rs. 1,25,980.00 million as of September 30, 2025. The composition of the order book is as follows:

• Roads and highways: 64.3%
• Renewables: 21.8%
• Other sectors: 13.9%

The company secured Rs. 37,470.00 million worth of new orders during H1 FY26 and expects to exceed its full-year guidance of Rs. 50,000.00 million.

Strategic Diversification

Chairman Ramneek Sehgal highlighted the company's strategic diversification into transmission distribution, renewables, and industrial infrastructure segments, indicating a focus on expanding the company's portfolio and reducing dependence on any single sector.

Conclusion

While Ceigall India has demonstrated its ability to grow revenue in the current market environment, the company faces the challenge of translating this top-line growth into improved profitability. The management may need to focus on cost optimization and operational efficiency to address the margin pressure and bottom-line impact in the coming quarters, while also capitalizing on its growing order book and diversification strategy.