Synopsis: Under Regulation 30, 3i Infotech Limited has disclosed a Rs. 37.05 crore, three-year IT Facility Management Services order from Hindustan Petroleum Corporation Limited, covering HPCL’s refineries, head office, and multiple PAN India locations a useful PSU anchor contract for a company whose core operating margins have been negative in three of four quarters this fiscal year.
Shares of a Mumbai-based IT services company came into focus after the firm filed a purchase order disclosure reporting receipt of a three-year IT infrastructure services contract from Hindustan Petroleum Corporation Limited. The engagement, received June 9, 2026, spans HPCL’s corporate and refinery network across India.
With a market capitalisation of Rs. 351.96 crore, the shares of 3i Infotech Ltd were trading at Rs. 16.97 per share, up 3.29 percent from its previous closing price of Rs. 16.43 apiece. It is trading at a P/E of 9.71.
Order Update
HPCL has awarded 3i Infotech a purchase order for IT Facility Management Services across its Corporate R&D Centre, Visakh Refinery, Head Office, Zones, ISC, and multiple PAN India locations, for a period of three years. The scope covers skilled manpower support, desktop and endpoint support, printer and scanner support, server support, VMS endpoint support, travel assistance, and related IT infrastructure services.
The total contract value is approximately Rs. 37.05 crore, implying an annual run-rate of approximately Rs. 12.35 crore. The filing confirms no related-party involvement and classifies the engagement as a domestic contract. 3i Infotech also noted a minor delay in the disclosure the order was received June 9 and filed June 10 attributing it to the time taken for internal review and formalities.
Order Size in Context
Against FY26 consolidated revenue of Rs. 693 crore, the Rs. 37.05 crore total represents about 5.35 percent of one year’s revenue base. On an annualised basis, the contribution narrows to roughly 1.78 percent per year, modest, but not immaterial for a company where quarterly revenue has been declining.
The client matters more than the size. HPCL is a Maharatna public sector undertaking and one of India’s largest oil refining and marketing companies. A multi-year managed services contract with a PSU of this scale carries procurement credibility that is useful when bidding for similar infrastructure engagements at other central and state government entities. The Visakh Refinery inclusion is also notable because large industrial sites with dispersed IT infrastructure generate recurring manpower-intensive support demand, which is exactly what FMS contracts are designed to address.
The category of work Facility Management Services is, however, predominantly manpower-driven. Desktop support, printer management, and helpdesk services operate on thin margins, typically in the 5 to 12 percent EBITDA range. The profitability uplift from Rs. 12.35 crore in annual FMS revenue, at those margins, would be in the range of Rs. 60 to 150 lakhs per year, modest against the company’s broader operating picture.
Core Operating Profitability: The Number to Watch
The HPCL order is a positive data point for a company navigating a difficult revenue trajectory. 3i Infotech’s quarterly revenue has remained flat from roughly Rs. 178 crore in mid-FY24 to Rs. 175 crore in Q4 FY26, a pattern that reflects the loss of older contracts without equivalent replacement wins. At the operating level, three of the four quarters of FY26 June, September, and March reported negative EBITDA, with core operating margins at minus 2 percent, minus 3 percent, and minus 5.5 percent respectively. Only Q3 FY26 (December quarter) reported a positive OPM of 0.22 percent.
The reported FY26 net profit of Rs. 35.1 crore is therefore not a reflection of operating strength. Data flags that earnings for the year include other income of Rs. 86.9 crore, which means core operations ran at a loss on an aggregate basis; the profit is coming from asset disposals or one-time financial gains rather than services revenue. This context is essential to reading the P/E of 9.71 correctly: it looks cheap, but it is priced against non-recurring earnings.
Two further balance sheet flags are worth noting. Contingent liabilities stand at Rs. 230 crore against a market cap of Rs. 341 crore a meaningful exposure relative to company size. The stock is also trading at 0.92 times book value, below par for an IT services business, reflecting market pricing of those risks. The company has not paid a dividend despite reporting positive net profits.
3i Infotech has been on a multi-year debt reduction journey, using asset sales to bring borrowings down from historically elevated levels. That process appears ongoing in the high other income and the operating business has not yet reached a level of self-sustaining profitability.
Business Overview
Incorporated in 1993, 3i Infotech Ltd is a global Information Technology company committed to driving digital transformation and providing cutting-edge software solutions. Over the past three decades, they have established themselves as a reliable technology partner, helping businesses navigate complex technological landscapes with agility and innovation. With a robust market presence and a diversified service portfolio, they cater to enterprises globally, ensuring their operational systems are modern, secure, and highly efficient.
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