Concord Enviro Systems Q4 FY26 results: net profit down 70.0% to ₹14.15 crore, revenue down 0.5%

How did Concord Enviro Systems perform in Q4 FY26?

Consolidated revenue for Q4 FY26 was ₹206.04 crore, down ₹0.95 crore or 0.5% from ₹206.99 crore in Q4 FY25 and up ₹81.46 crore or 65.4% from ₹124.58 crore in Q3 FY26. EBITDA was ₹18.50 crore, down ₹40.40 crore or 68.6% from ₹58.90 crore a year earlier and up ₹14.20 crore from ₹4.30 crore in the previous quarter.

EBITDA margin was 9.0% in Q4 FY26, down 19.5 percentage points from 28.5% in Q4 FY25 and up 5.5 percentage points from 3.5% in Q3 FY26. Profit before tax was ₹17.70 crore, down ₹34.95 crore from ₹52.65 crore a year earlier, while net profit was ₹14.15 crore, down ₹32.98 crore or 70.0%. Basic EPS was ₹6.83, against ₹22.11 a year earlier; net profit attributable to owners was ₹14.14 crore.

On a standalone basis, Q4 FY26 revenue was ₹17.64 crore, down 18.6%, while profit after tax was ₹4.25 crore. The figures reported above for Q4 FY26 and FY26 are consolidated.

What changed in Concord Enviro Systems' costs and profit?

Total expenses were ₹198.16 crore in Q4 FY26, up ₹41.14 crore or 26.2% from ₹157.02 crore in Q4 FY25. Employee cost rose ₹12.56 crore or 54.2% to ₹35.74 crore, other expenses increased ₹9.17 crore or 35.9% to ₹34.71 crore, depreciation rose ₹1.64 crore or 48.0% to ₹5.06 crore, and finance costs edged up ₹0.04 crore or 0.7% to ₹5.55 crore. Cost of materials fell ₹6.57 crore or 8.3% to ₹72.77 crore.

Other income increased ₹1.96 crore or 73.1% to ₹4.64 crore from ₹2.68 crore in Q4 FY25, while tax expense fell ₹0.39 crore or 11.2% to ₹3.10 crore. Q4 FY26 included an exceptional gain of ₹5.17 crore, against no exceptional item in Q4 FY25. Management attributed the revenue shortfall to disruptions affecting Kenya and Sharjah, and the presentation cited delayed Kenya execution, slow CBG execution and Middle East conflict.

From Q3 FY26, total expenses increased ₹67.62 crore, including higher employee cost of ₹9.23 crore, other expenses of ₹2.21 crore and depreciation of ₹0.81 crore, partly offset by lower cost of materials of ₹7.40 crore and finance costs of ₹0.46 crore. The exceptional item changed from a ₹5.17 crore charge to a ₹5.17 crore gain, while other income rose ₹0.55 crore.

How did Concord Enviro Systems do in FY26 as a whole?

For FY26, consolidated revenue was ₹557.86 crore, down ₹36.58 crore or 6.2% from ₹594.44 crore in FY25. Total income was ₹585.67 crore, down ₹13.49 crore or 2.3% from ₹599.16 crore. Profit before tax fell ₹39.07 crore or 59.2% to ₹26.94 crore.

Net profit for FY26 was ₹19.76 crore, down ₹31.73 crore or 61.6% from ₹51.49 crore in FY25, and basic EPS fell ₹14.19 or 59.8% to ₹9.55 from ₹23.74. Management said supply-chain disruptions affected operational momentum and that deliberate investment in human capital increased overheads.

What do the balance sheet and cash flow show?

At 31 March 2026, total assets were ₹951.84 crore against ₹915.54 crore at 30 September 2025. Total equity was ₹571.57 crore against ₹549.79 crore, borrowings were ₹151.22 crore against ₹163.16 crore, and cash was ₹53.24 crore against ₹35.74 crore. Inventories were ₹219.65 crore, trade receivables ₹264.13 crore and trade payables ₹162.40 crore.

FY26 operating cash flow was negative ₹23.16 crore, compared with positive ₹4.75 crore in FY25. Investing cash flow was ₹52.71 crore against negative ₹122.34 crore, while financing cash flow was negative ₹1.49 crore against ₹124.53 crore. Capital expenditure was ₹20.55 crore in FY26, compared with ₹25.76 crore in FY25.

How has Concord Enviro Systems done over the last 7 quarters?

Quarterly revenue reached its highest level at ₹206.99 crore in Q4 FY25 and was ₹206.04 crore in Q4 FY26, after bottoming at ₹102.39 crore in Q1 FY26. The latest quarter therefore ended with revenue close to the prior-year peak and well above the levels recorded through most of FY26.

Net profit peaked at ₹47.13 crore in Q4 FY25 and bottomed at a net loss of ₹8.56 crore in Q3 FY25. It moved from a net loss of ₹8.18 crore in Q3 FY26 to a net profit of ₹14.15 crore in Q4 FY26, but remained below the year-ago quarter. EBITDA margin was 28.5% at the peak and negative 0.9% at the bottom, then recovered to 9.0% in the latest quarter from 3.5% in Q3 FY26.

What else did the company announce?

The board approved the audited standalone and consolidated financial results for the quarter and year ended 31 March 2026. Deloitte Haskins & Sells LLP issued an unmodified opinion on the audited results, and the company filed a statement of deviations or variations, if any, in the use of IPO proceeds for the quarter ended 31 March 2026.

The company also filed an investor presentation for the quarter and year ended 31 March 2026. The board authorised Prayas Goel, Prerak Goel and Anish Goel as the directors and key managerial personnel responsible for determining materiality and making stock-exchange disclosures. The same-day filings did not announce a dividend, fund raise or appointment.

What did Concord Enviro Systems' management say?

Chairman and Managing Director Prayas Goel said the Kenya project had been delayed by changes in control and capex planning at the client, causing a revenue shortfall against earlier guidance; it is now expected to be implemented in phases, with visibility improving in Q2 FY27. He also said compressed-biogas plants were struggling to obtain feedstock, contributing to increased feedstock prices.

Executive Director Prerak Goel said material movement from the Sharjah facilities remained interrupted because of regional conflict-related disputes, and the company was being cautious about guidance until Q1 provided better clarity. Management also said the Kenya project would begin phasing in Q2 FY27, a nuclear order of ₹36 crore was expected to enter revenue recognition in Q2 FY27, and the first H-Xtreme heat-exchanger order was close to conversion.

How did Concord Enviro Systems shares react?

The filing appeared after market hours. From the price when it was released, the stock rose 1.7% after five minutes, 6.0% after 15 minutes and 5.8% after 30 minutes. It closed the first session that could trade on the news 1.3% above the previous close, and by the next day's close it was up 2.7% from that pre-results close.

By five sessions, the stock was down 6.2% from the pre-results close, against a 1.8% fall for the Waste Management industry median. Concord Enviro Systems therefore underperformed the industry by 4.4 percentage points over five sessions. Earlier reaction-day moves were negative on four occasions: 8.1% on 12 February 2026, 6.6% on 7 November 2025, 2.8% on 8 August 2025 and 7.3% on 24 May 2025; the move was positive at 5.4% on 17 January 2025.

How did other Waste Management companies do?

Seven other Waste Management companies that had filed this quarter were compared. Their median revenue growth was 25.8%. Two peers grew more slowly than Concord Enviro Systems and five grew faster than the company. Among the four peers for which profit was compared, two reported higher profit.