Financial Results Q4 & FY26
HGINFRA · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
H.G. Infra Engineering reported FY26 revenue of Rs. 56,667 million, down 6.4% from Rs. 60,519 million in FY25. Profit after tax fell 32.6% to Rs. 3,891 million from Rs. 5,771 million, impacted by lower operating margins (12.94% vs 15.71% prior year). The company recorded exceptional gains of Rs. 711 million from divestment of subsidiaries (PKG-2 and partial PKG-1). Operating cash flow improved significantly to Rs. 2,532 million from Rs. 1,196 million. The board recommended a dividend of Rs. 2 per share. Borrowings increased substantially, with debt-equity ratio rising to 0.50 from 0.37. The auditors issued an unmodified opinion but included an Emphasis of Matter regarding CBI/ACB search proceedings at company offices.
The sharp 32.6% decline in PAT and margin compression to 12.94% are concerning for shareholders. The significant increase in borrowings and higher debt-equity ratio also raise leverage concerns. However, strong operating cash flow and subsidiary divestment gains provide some comfort.