NCC shares rise 5% on Rs 2,090 crore Bihar Water Resource Department order

On Tuesday, the NCC shares rose by 4.8 percent, touching a day’s high price of Rs 222.31 on NSE after it secured a significant water infrastructure order worth Rs 2,090.5 crore from the Water Resources Department of Bihar for constructing the Barnar Reservoir Scheme in Jamui district. This order, announced on September 15, 2025, includes the construction of reservoir facilities, dam structures, irrigation channels, and related infrastructure. The project is scheduled for a 30-month construction phase followed by a 60-month defect liability period, and it does not constitute a related-party transaction. The addition of this contract further consolidates NCC’s reputation as a leading EPC player and strengthens its expanding project portfolio.

The recent major order is part of NCC’s robust order inflows in the current fiscal. In addition to the current order, the NCC has secured projects worth Rs 1,690.5 crore along with a Rs 2,269 crore Metro Line 6 contract for the Mumbai Metropolitan Region Development Authority. In the first quarter of FY26, fresh order wins have already reached Rs 3,658 crore. NCC’s management expects to achieve total order inflows of Rs 22,000 to 25,000 crore for the full financial year, backed by a strong bidding pipeline and selective project acquisition strategy.

Despite these wins, Q1FY26 operational metrics reflected sector-wide headwinds. NCC reported consolidated revenue from operations of Rs 5,179 crore in Q1FY26, reflecting a 6.3 percent year-on-year decline. Net profit also dipped 8.4 percent year-on-year to Rs 192.1 crore, while EBITDA for the quarter stood at Rs 456 crore, showing a 4.6 percent decrease year-on-year. The company’s EPS for the period was Rs 3.06. 

NCC’s order book as of June 30, 2025, stood at Rs 70,087 crore. Management has maintained a cautiously optimistic outlook for the rest of FY26. In investor presentations and analyst calls, NCC management said there is a healthy bid pipeline and continued selectivity in project acquisitions will support revenue growth and margin recovery in the coming quarters. The company projects revenues to grow by about 10 percent in FY26, backed by robust order inflows and a diversified project base. While the company acknowledges sectoral challenges and execution risks, it believes its operational discipline and alignment to core infrastructure opportunities like water resources and public works will help drive gradual margin expansion and recovery in profit levels through the year.