Bondada Engineering Q1 profit rises 38% as revenue grows; margins remain under pressure

Bondada Engineering Q1 profit rises 38% as revenue grows; margins remain under pressure


Hyderabad-based engineering, procurement and construction (EPC) company Bondada Engineering reported strong growth in profitability for the first quarter of FY27, with net profit rising sharply on the back of higher revenue.

The company posted a net profit of ₹53 crore for the quarter ended June 2026, up 38.04% from ₹38.2 crore in the corresponding quarter last year.

Revenue from operations increased 24% year-on-year to ₹691.6 crore from ₹558 crore a year earlier, reflecting continued growth in the company’s core businesses.

However, operating profitability growth was slower compared with revenue growth during the quarter. Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 20% year-on-year to ₹78.09 crore from ₹65.09 crore.

As a result, EBITDA margin narrowed slightly to 11.29% from 11.67% in the year-ago period. EBITDA margin indicates the portion of revenue left after accounting for operating expenses, and the moderation suggests that costs increased at a slightly faster pace than revenue during the quarter.

Despite the marginal pressure on margins, the company reported healthy earnings growth, with the increase in revenue helping drive higher absolute operating profit and net profit.

Bondada Engineering provides engineering, procurement and construction services across telecom, solar power and infrastructure sectors. The company undertakes activities such as project execution, installation, maintenance and related engineering services for infrastructure projects.

Expanding presence in renewable energy

The company’s growth strategy has included expanding its presence in renewable energy and large infrastructure projects.

In June, Bondada Engineering secured a ₹1,338-crore order from NTPC Renewable Energy Limited for the development of a 250 MW solar power project along with a 50 MW/200 MWh battery energy storage system at Sitapur in Uttar Pradesh.

The project is scheduled to be completed within 18 months. The order strengthens Bondada Engineering’s presence in the renewable energy segment at a time when investments in solar power and energy storage infrastructure are increasing.

Entry into aerospace and defence

The company has also been diversifying beyond its traditional businesses.

Bondada Engineering recently announced the acquisition of a 75% stake in Hyderabad-based KCS Engineering Solutions through its subsidiary Bondada Dynamics. The acquisition marks the company’s entry into the aerospace and defence sector.

The move is aimed at expanding its capabilities into a new set of engineering applications beyond telecom and renewable energy infrastructure.

The company has been building a broader business portfolio through new orders and strategic acquisitions, while continuing to focus on its established EPC operations.

Stock performance

Shares of Bondada Engineering closed at ₹300.10 on Wednesday, August 5, gaining 0.50% during the session.

The stock movement came as the company reported its quarterly earnings and highlighted recent business developments, including its renewable energy order win and expansion into aerospace and defence.

Also Read: Berger Paints Q1 Results: Profit gains 21% on strong decorative, auto coatings demand



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