Engineers India Limited (EIL) has taken a significant step towards advancing India's nuclear energy capabilities by signing an agreement with Nuclear Power Corporation of India Limited (NPCIL) to provide engineering services for the development of the Bharat Small Modular Reactor (BSMR).

Partnership Details

The Memorandum of Understanding (MoU) between EIL and NPCIL focuses on providing engineering services for the conceptual design and engineering of structures, systems, and components of the Bharat Small Modular Reactor. This collaboration aligns with the Government of India's vision to accelerate nuclear power development, aiming to strengthen the country's energy security with clean and reliable energy sources.

Strategic Importance

The partnership is a crucial step towards India's Nuclear Energy Mission for Viksit Bharat, which targets a nuclear power capacity of 100 GW by 2047. Small Modular Reactors (SMRs) are seen as a promising technology in the nuclear energy sector, offering potential advantages such as scalability, reduced construction times, and enhanced safety features.

EIL's Expertise

Engineers India Limited, a public sector undertaking under the Ministry of Petroleum & Natural Gas, brings its extensive experience in providing concept-to-commissioning services across various industrial sectors to this nuclear project. This collaboration leverages EIL's engineering prowess to contribute to India's nuclear energy ambitions.

Financial Performance

Coinciding with this strategic partnership, EIL has released its financial results for the first quarter, showcasing the company's strong performance:

• Revenue from Operations: ₹857.15 crore, up from ₹610.62 crore in the same quarter of the previous fiscal year
• Profit Before Tax: ₹93.76 crore, compared to ₹73.64 crore in the same quarter last year
• Profit After Tax: ₹70.08 crore, an increase from ₹54.78 crore in the corresponding quarter of the previous year

Segment-wise Performance

The company's strong financial results demonstrate its capability to undertake significant projects like the BSMR development while maintaining robust operational performance.

Future Outlook

The collaboration between Engineers India Limited and NPCIL on the Bharat Small Modular Reactor project represents a significant milestone in India's nuclear energy sector. As EIL continues to diversify its portfolio and contribute to critical national projects, the company is well-positioned to play a pivotal role in shaping India's energy future.

This partnership not only showcases EIL's engineering capabilities but also highlights the government's commitment to exploring innovative nuclear technologies to meet India's growing energy demands while focusing on sustainability and energy security.

Engineers India Limited (EIL), a leading engineering consultancy and EPC company, has reported robust financial results for the first quarter, demonstrating significant growth in revenue and improved profitability.

Revenue Surge

EIL witnessed a substantial increase in revenue for Q1. The company's total income rose to ₹8,921.11 crore, up from ₹6,483.19 crore in the same quarter of the previous year, marking a notable growth of 37.6%.

Segment Performance

The company's performance was driven by strong growth in both its key business segments:

1. Consultancy & Engineering Projects: Revenue increased to ₹4,081.28 crore from ₹3,465.42 crore in the corresponding quarter of the previous year.
2. Turnkey Projects: This segment saw significant growth, with revenue rising to ₹4,490.20 crore from ₹2,640.81 crore in the corresponding quarter last year.

Profitability Metrics

EIL's profitability showed improvement in Q1:

• EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) increased to ₹721.00 crore, up from ₹510.00 crore in the same quarter of the previous year.
• EBITDA margin improved slightly to 8.28% from 8.18% year-over-year.

However, the company's consolidated net profit declined to ₹654.00 crore from ₹916.00 crore in the same period last year.

Segment-wise Profit

The company's segment-wise profit from operations showed mixed results:

Order Book and Business Secured

As of the end of the quarter, Engineers India's total order book stood at ₹121,443.00 crore, with the Consultancy segment accounting for 56% and the Turnkey segment for 44%. The company secured new business worth ₹14,292.00 crore during the quarter, with ₹6,083.00 crore in Consultancy and ₹8,209.00 crore in Turnkey projects.

Conclusion

Engineers India Limited's Q1 results demonstrate the company's resilience and ability to grow its revenue significantly. While there was a decline in net profit, the improvement in EBITDA and strong order book position suggest a positive outlook for the company. EIL's balanced performance across its Consultancy and Turnkey segments underscores its strong market position in the engineering and EPC sectors.