Engineers India LimitedInfrastructure & ConstructionENGINERSIN
Q1 FY27 earnings callEngineers India Limited
Engineers India delivered strong Q1 FY27 profit growth of 55% and a sharp margin improvement on a higher-margin consultancy mix, maintaining its order inflow target despite a challenging Middle East environment.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Order Book | INR 14,424 crores | — | |
| Standalone PBT | INR 145 crores | 55% | |
| Standalone PAT | INR 109 crores | 55% | |
| Operating Margin | 14% | — | |
| EBITDA Margin | 18.55% | — | |
| Turnover | INR 801 crores | — | |
| Consultancy Turnover | INR 499 crores | 22% | |
| Consolidated Profit | INR 157.94 crores | 141% |
Financials
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹764.59 Cr-11.9% YoY+11% QoQ | ₹108.73 Cr+71.6% YoY+9.1% QoQ | ₹1.94+71.7% YoY+9.6% QoQ |
| Q2 FY25 | ₹688.94 Cr-12.8% YoY+10.4% QoQ | ₹99.63 Cr-21.8% YoY+8.8% QoQ | ₹1.77-22% YoY+8.6% QoQ |
| Q1 FY25 | ₹623.83 Cr-23.8% YoY-22.5% QoQ | ₹91.60 Cr-34.1% YoY-20.7% QoQ | ₹1.63-34% YoY-20.5% QoQ |
| Q4 FY24 | ₹805.14 Cr-8.5% YoY-7.2% QoQ | ₹115.52 Cr-39.3% YoY+82.4% QoQ | ₹2.05-39.3% YoY+81.4% QoQ |
| Q3 FY24 | ₹867.64 Cr+3% YoY+9.9% QoQ | ₹63.35 Cr+293% YoY-50.3% QoQ | ₹1.13+289.7% YoY-50.2% QoQ |
TL;DR
- Standalone PBT up 55% YoY to INR 145 Cr; PAT up 55% to INR 109 Cr.
- Operating margin expanded to ~14% from 7% last year; EBITDA margin at 18.55%.
- Order book at INR 14,424 Cr; order inflow target of INR 8,000 Cr maintained.
- Consultancy turnover grew 22% YoY; segment now targets over 50% of total revenue.
- Consolidated profit surged 141% YoY to INR 157.94 Cr.
- Management highlighted growth opportunities in nuclear, coal gasification, and infrastructure.
Said on the call
“Management efforts are always there to grab the consultancy business first.”
From the Q&A
| Topic | What management said |
|---|---|
| Order Inflow Target and Pipeline | Management affirmed the INR 8,000 Cr order inflow target for FY27, stating they have INR 2,750 Cr in the pipeline currently, with over INR 1,100 Cr from overseas. They expect to meet the target despite Middle East challenges, with focus on consultancy, overseas, and new segments like nuclear and coal gasification. |
| Margin Outlook and Revenue Mix | Consultancy segment profit margin improved to 24% from 17% YoY. Management targets over 50% (potentially 55%) of revenue from consultancy in FY27, driving overall margin. They aim to maintain an operating margin of at least 16% (last year's level), with potential for improvement if pending change orders are settled. |
| Middle East Market & Aramco | The Middle East market is described as 'grim' and 'slow' for new mega projects due to geopolitical issues, though existing projects continue. The company secured INR 500 Cr of business from the region in Q1. Discussions with Aramco are in initial stages, with no major inquiries yet due to the slowdown. |
| New Business Segments (Nuclear, Coal Gasification) | Management sees increasing inquiries in nuclear (conducting environmental studies, engaged with NPCIL) and coal gasification (bidding for feasibility studies, driven by government policy). They emphasized using existing hydrocarbon project management skills to enter these segments. |
| Execution and Growth Guidance | Management targets at least a 10% growth in total turnover for FY27, with consultancy growth expected to be higher than LSTK. Consultancy revenue is projected to be over INR 2,000 Cr (around INR 2,300-2,400 Cr). The FY28 revenue target of INR 5,000 Cr is maintained. |
| Cash and Investments | Management stated there are no current plans to distribute cash reserves to shareholders beyond the existing dividend policy (~100% payout), as they are considering other investment plans. Investments like RFCL are seen as strategic and generating returns. |
Guidance
- Maintain order inflow target of INR 8,000 crores for FY27.
- Target at least 10% growth in total turnover for FY27.
- Expect over 50% (potentially 55%) of revenue from the consultancy segment.
- Aim to maintain operating margin of at least 16% (same as last year).
- Maintain FY28 revenue target of INR 5,000 crores.
Source
Summary written from the transcript filed by Engineers India Limited for the call held on 13 Aug 2026; published 21 Aug 2026, 20:08 IST.