A2Z Infra Engineering has announced a significant One Time Settlement (OTS) agreement with Indian Bank, settling outstanding debt obligations of ₹142.05 crore for a total consideration of ₹50.00 crore. The company disclosed this development through a regulatory filing under SEBI Regulation 30 on February 24, 2026.

Debt Settlement Details

The company has finalized a comprehensive debt restructuring arrangement with Indian Bank through a Full Cash One Time Settlement. The settlement covers all fund-based outstanding liabilities, excluding contingent bank guarantee liability of ₹14.40 crore.

Payment Structure

The settlement amount of ₹50.00 crore will be paid in structured installments over a 90-day period, as per the acceptance letter from Indian Bank dated February 24, 2026.

Background and Strategic Context

The company and its associate companies had availed financial assistance from Indian Bank, with accounts classified as Non-Performing Assets (NPA). A2Z Infra Engineering, serving as Corporate Guarantor, was liable for the outstanding exposure of associate companies. The Board of Directors approved the settlement through a resolution passed by circulation on February 24, 2026.

Financial Impact and Risk Management

This OTS arrangement provides substantial financial relief, reducing the debt burden by approximately ₹92.05 crore. The settlement includes provisions for delayed payments, with an additional 90-day cure period available at 12.25% per annum interest for any delays beyond the stipulated timeline.

The successful negotiation demonstrates the company's ongoing debt reduction strategy and proactive approach to financial restructuring, continuing its efforts to optimize the capital structure and strengthen its financial foundation.

A2Z Infra Engineering Limited has published its unaudited standalone and consolidated financial results for the third quarter of FY26 ended December 31, 2025. The infrastructure engineering company demonstrated significant revenue growth but faced profitability challenges during the quarter.

Standalone Financial Performance

The company's standalone operations showed robust revenue growth with mixed profitability outcomes:

The company achieved remarkable revenue growth of over 229% year-on-year, with total income from operations rising to ₹3,126.82 lakhs from ₹949.43 lakhs in Q3 FY25. However, this growth came at the cost of profitability, as the company reported a net loss of ₹411.58 lakhs compared to a profit of ₹33.01 lakhs in the corresponding quarter of the previous year.

Consolidated Financial Results

On a consolidated basis, the company's performance showed improvement in loss reduction:

Consolidated total income increased to ₹10,896.82 lakhs in Q3 FY26 from ₹8,455.90 lakhs in Q3 FY25. The consolidated net loss improved to ₹63.89 lakhs compared to ₹92.89 lakhs in the previous year quarter, indicating better operational efficiency at the group level.

Nine-Month Performance Overview

For the nine-month period ended December 31, 2025, the company reported:

• Standalone: Total income of ₹7,519.89 lakhs versus ₹3,595.30 lakhs in the corresponding period of FY25, with a net loss of ₹450.89 lakhs compared to a loss of ₹2,262.36 lakhs in the previous year
• Consolidated: Total income of ₹29,419.50 lakhs against ₹24,561.16 lakhs, with a net loss of ₹141.80 lakhs versus a loss of ₹23.15 lakhs

Corporate Governance and Compliance

The financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on February 11, 2026. The company published these results in Business Standard newspaper on February 13, 2026, in both English and Hindi editions, complying with Regulations 30 and 47 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company maintains an equity share capital of ₹17,611.99 lakhs with a face value of ₹10 per share, which remained unchanged across all reporting periods. Complete financial results are available on the company's website at www.a2zgroup.co.in and on stock exchange websites.