Synopsis: A prominent EPC and highway construction player has secured two large highway concession agreements, adding meaningfully to its already sizeable order book, even as recent quarterly and annual profitability moderated from the previous year’s levels.
Road construction continues to be one of the most active segments of India’s infrastructure buildout, with the government steadily awarding Hybrid Annuity Mode projects to expand highway connectivity across states. Companies with a strong track record of execution have consistently benefited from this ongoing capital expenditure push. The latest addition comes in the form of two connected highway packages in Uttar Pradesh, awarded within the same week.
Shares of PNC Infratech Limited, with a market capitalization of Rs.6,280 Crore, are trading at Rs.256 i.e. around 5% above its previous closing price of Rs.244. It trades at a P/E ratio of 7.53.
Two New HAM Projects Signed With NHAI
PNC Infratech Limited has executed concession agreements with the National Highways Authority of India for two new Hybrid Annuity Mode highway projects, with a combined bid project cost of ₹3,483 crore.
The first package involves construction of a 4-lane highway from Barabanki to Mustafabad on NH-927 in Uttar Pradesh, spanning roughly 43.7 km, at a bid project cost of ₹1,728 crore. This project will be executed through a special purpose vehicle named Barabanki Mustafabad Highway Private Limited.
The second package covers the stretch from Mustafabad to Biswariya on the same NH-927 corridor, covering approximately 54.8 km, at a bid project cost of ₹1,755 crore. This will be undertaken through another SPV, Mustafabad Biswariya Highway Private Limited.
Both projects are to be constructed over 24 months from their respective appointed dates and will be operated for 15 years thereafter under the HAM structure, which allows the company to receive annuity payments from NHAI across the operations period rather than relying purely on toll collections.
Order Book Continues To Expand
Separately, the company’s total order book stood at ₹28,769 crore, with a balance order book of ₹18,094 crore as on 31st March 2026, prior to the addition of these two new projects.
The order book is spread across a diverse mix of segments including HAM road projects, EPC roads, water supply schemes under Namami Gange and Jal Jeevan Mission, an airport runway project, a railway EPC contract, and a mining development and operations (MDO) contract. Uttar Pradesh, Maharashtra, and Bihar account for a large share of ongoing project value, reflecting the company’s continued focus on state and central government-funded infrastructure works.
Quarterly And Annual Financial Performance
On the financial front, the company’s consolidated revenue for Q4 FY26 stood at ₹1,617 crore, compared to ₹1,704 crore in Q4 FY25. EBITDA came in at ₹277 crore against ₹362 crore a year earlier, with EBITDA margin at 17.1% versus 21.3% in the year-ago quarter. Profit after tax for the quarter rose to ₹108 crore from ₹75 crore in Q4 FY25.
For the full year FY26, consolidated revenue stood at ₹5,368 crore against ₹6,769 crore in FY25. EBITDA for FY26 was ₹1,137 crore compared to ₹2,066 crore in FY25, with margin at 21.2% versus 30.5% a year earlier. Profit after tax for FY26 came in at ₹832 crore against ₹815 crore in FY25, aided in part by an exceptional item of ₹492 crore during the year.
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